SIPP Fees

[flopski2]

I have a "legacy" SIPP which was recently transferred from Alliance Trust Savings to Interactive Investor. It is sub £100k and apart from two scrip dividends and oeic accumulation, is unlikely to change. Is the fee structure of II now suitable for this (they seem to be charging £9.99 a month for an investor service and £10 for SIPP admin)? Money for old rope springs to mind given I'm not trading on this fund. Is there a better/cheaper vehicle for this scale of fund?

[Chrysalis]

Do you have any other SIPP accounts or is this the only one?
The fees for ii will be £20 per month, or thereabouts, with some trading credits included.
If you hold OEICs, you’d probably struggle to find something materially cheaper. If you hold only shares/ETFs/ITs, then the likes of Hargreaves Lansdown or AJBell may be competitive.

[fisher]

I use youinvest and I pay £25 a quarter for my SIPP. They will also pay you a sweetener for transferring to them. Be aware that they have hefty transfer out charges though, so once you've transferred to them it will be much more expensive to move elsewhere if you wanted to.

The £25 per quarter is for direct shareholdings only. I do not have OEICs, and I think they charge a percentage on these thay may make their offering unattractive.

[Chrysalis]

I use youinvest and I pay £25 a quarter for my SIPP. They will also pay you a sweetener for transferring to them. Be aware that they have hefty transfer out charges though, so once you've transferred to them it will be much more expensive to move elsewhere if you wanted to.

The £25 per quarter is for direct shareholdings only. I do not have OEICs, and I think they charge a percentage on these thay may make their offering unattractive.

Yes, Youinvest and Hargreaves Lansdown have percentage based platform fees for OEICs. HL is 0.45%, Youinvest/AJBell are less, can’t exactly remember if 0.25 or 0.35%

[Chrysalis]

Also ATS fees were £21 per month so not actually any different?

[Urbandreamer]

I obviously don't know how long it will be before you access your SIPP, but don't forget to check the costs of drawdown as well.
Different providers have different chargeing structures.

[flopski2]

Thanks for the information. I am not planning on accessing for 2-5 years. I was hoping that the government's "Dashboard" might be launched soon that would make retirement planning a little easier for those with an ecletic mix of DB and DC pensions (and a tax rebate from contracting out of SERPs in the 1980sas we were advised to do when a pension seemed a long way off!). It sounds like I'm unlikely to get a better deal without some sort of cost elsewhere.

[hiriskpaul]

iWeb charge £45 per quarter, £5 dealing fee, but no extra fees for holding OEICS.

If you got rid of the OEICS and stuck with UK shares, ITs and ETFs, Fidelity would be a cheap option for you at £45 per year, £10 dealing fee. They currently offer 173 ITs, 272 ETFs and over 1000 UK shares. No charges for drawdown or transfer out either.

[TedSwippet]

Eh? I have a SIPP and ISA at II. I pay GBP 10 a month. A trade is GBP 7.50 which is set against your monthly fee. Cheap as chips.

https://www.ii.co.uk/ii-accounts/sipp

Our Charges

Our administration fee is just £10 per month while you are building your pension pot, in addition to the service plan fee of £9.99 per month. Once you start to take retirement benefits, there is an additional £10 monthly drawdown fee.

UK trades are charged at £7.99. Every month we give you a free credit of £7.99 to be used against any trade.

[ursaminortaur]

Eh? I have a SIPP and ISA at II. I pay GBP 10 a month. A trade is GBP 7.50 which is set against your monthly fee. Cheap as chips.

https://www.ii.co.uk/ii-accounts/sipp

Our Charges

Our administration fee is just £10 per month while you are building your pension pot, in addition to the service plan fee of £9.99 per month. Once you start to take retirement benefits, there is an additional £10 monthly drawdown fee.

UK trades are charged at £7.99. Every month we give you a free credit of £7.99 to be used against any trade.

They recently changed their fees structure. They now provide 3 different charging structures/service plans for different types of investor :- General investor, Funds investor, frequent trader

https://www.ii.co.uk/service-plans/super-investor/all-plans

[Chrysalis]

Thanks TedSwippet, ursaminotaur....I was beginning to think I’d misread the information I received! (Not yet actually been charged by II since the accounts were transferred from ATS)

[paulnumbers]

I have a "legacy" SIPP which was recently transferred from Alliance Trust Savings to Interactive Investor. It is sub £100k and apart from two scrip dividends and oeic accumulation, is unlikely to change. Is the fee structure of II now suitable for this (they seem to be charging £9.99 a month for an investor service and £10 for SIPP admin)? Money for old rope springs to mind given I'm not trading on this fund. Is there a better/cheaper vehicle for this scale of fund?

You could look at the Fidelity SIPP. If you're prepared to use ETF's instead of funds, their fee's are capped at £45 per year. (there are dealing charges of £10 + 0.1%, but I assume you can avoid this if you transfer ETF's in)