Guest Blog: Why the latest FOS ruling isn’t a ‘game changer’ for SIPP providers

Guest Blog AJ Bell 150pxIn his first Guest Blog for Investment Sense Gareth James, Technical Resources Manager at AJ Bell, looks at the latest ruling from the Financial Ombudsman Service, which has divided the Self-Invested Pension industry. It was with a slight sense of trepidation that I took on Investment Sense’s invitation to consider whether the Financial Ombudsman Service’s decision to uphold a complaint in respect of a Sustainable AgroEnergy investment could be described as a game-changer for the SIPP industry. It is worth considering what the term game changer means. ...

SIPPs: Providers split over final capital adequacy proposals

SIPP logoNearly two years after the original capital adequacy proposals the Financial Conduct Authority has now released their final rules. Most people agree the new rules are a ‘watered-down’ version of those first proposed:   Many SIPP providers, although not all will have to reserve far less capital than they originally thought UK commercial property, as well as other assets such as UK bank accounts, will now be treated as ‘standard assets’ The surcharge for taking in ‘non-standard’ assets will now be based on the number of SIPPs managed rather than the value of assets So ...

‘In the Spotlight’: The latest on pension freedoms from Andy Bell

Spotlight AJ Bell As a follow up to our interview with AJ Bell founder Andy Bell earlier this month, we’ve managed to secure a little more of Andy’s time to discuss his views on the Government’s response to the consultation on the post- April 2015 pension freedoms. Phillip Bray: Can you give us a snapshot of your views on Monday’s announcements? Andy Bell: In terms of Monday’s news I’d sum it up as more positive than negative. The majority of the announcements were sensible in the context of the wider reforms. Looking at the broader ...

SIPPs: Providers split on whether investment choice should be restricted

Providers split on whether investment choice should be restrictedSelf-Invested Personal Pensions (SIPPs) are popular with investors mainly because of the investment flexibility they offer, compared to other forms of pension. However, regulators have warned that some investors, as well as unscrupulous advisers and salespeople, are taking advantage of this flexibility by taking out or selling investments, which may not meet HMRC rules and could therefore lead to unforeseen tax charges. One possible solution, to the problem of assessing whether an investment meets HMRC rules, and therefore avoid a tax penalty, would be ...