The consolidation of the SIPP (Self-Invested Personal Pension) market continued today, with the announcement that Suffolk Life will acquire 400 SIPPs plans from Origen.
Origen, a national firm of Independent Financial Advisers (IFAs) owned by Aegon, is pulling out of the SIPP market, but will continue to act as advisers to the scheme members.
No details of how much Suffolk Life paid for the book of 400 SIPPs has been released, however the Ipswich based SIPP provider confirmed it had paid for the Origen book from profits.
Suffolk Life has previously acquired SIPPs from Pointon York and is one of the UK’s leading SIPP providers, with assets over £5 billion, including 2,700 properties in SIPPs.
Reacting to the deal, Greg Kingston, Head of Marketing, said: “Running a non-core SIPP operation will increasingly pose heightened risk and capital drain to the main business that’s unlikely to be balanced by an equivalent upturn in revenue. Adviser and wealth management firms in particular are therefore winding up these operations and looking for independent, long term SIPP partners that will support their clients and their relationship with them.”
Barnett Waddingham buy Origen’s SSAS book
It has also been announced that Origen will sell a book of Small Self-Administered Schemes (SSAS) to Barnett Waddingham.
Mike Kirsch, Chief Executive of Origen, said: “Following this review, we concluded that we do not have the scale to meet the future needs of this administration and trustee business. I am delighted that we have agreed deals with two of the leading product providers to take on this role for Origen’s client base.”