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The Cheapest Sipp Thread

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Cheapest SIPP anyone?

The main funds seem to charge around 0.5% for any fund or share that they dont get trailing returns from.

I want a SIPP where I can buy individual stocks, investment trusts and ETFs without incurring such a fee.

Anyone else got a SIPP and if so do you monitor the fees?

Over 20-30 years any sort of management fee will eat into returns.

Cheers.

Edited by ringledman

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Cheapest SIPP anyone?

The main funds seem to charge around 0.5% for any fund or share that they dont get trailing returns from.

I want a SIPP where I can buy individual stocks, investment trusts and ETFs without incurring such a fee.

Anyone else got a SIPP and if so do you monitor the fees?

Over 20-30 years any sort of management fee will eat into returns.

Cheers.

I am with Hargreaves Lansdown. I found them to be one of the cheapest around. Also reputable.

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I am with Hargreaves Lansdown. I found them to be one of the cheapest around. Also reputable.

MeToo. The majority of my net worth is invested with or through them.

Certainly the cheapest for a wide range of funds, but less clear for the asset classes the OP is asking about. The "fund supermarket" is the heart of their business, and historically they've taken the lead in driving charges down - which of course has pushed the rest of the industry down too.

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What about SippDeal http://www.sippdeal.co.uk/

Anyone using them successfully?

I know someone who is - has a fair sum invested and says they are fine. When I was googling them to find out who they were, I found a case or two of complaint against the company but it looked like admin failures - nothing serious. Great choice of funds and I think you can manage everything online which is nice.

Also found BestInvest - but the SIPP can only be managed by phone or postal instructions. A huge range of investment options, looks like zero fees and 100% discounts on most funds.

I don't have a recommendation for any of the above as I'm not using any of them...

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What about SippDeal http://www.sippdeal.co.uk/

Anyone using them successfully?

What's their dealing charge?

Their pages say £9.95 per deal - no hint of it ever being different. But their demo shows a purchase, and the charge displayed is £14.95 on a £1200 deal. If that £9.95 is really just a minimum charge applying to tiny transactions, it would seem to raise a warning flag about their honesty!

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What's their dealing charge?

Their pages say £9.95 per deal - no hint of it ever being different. But their demo shows a purchase, and the charge displayed is £14.95 on a £1200 deal. If that £9.95 is really just a minimum charge applying to tiny transactions, it would seem to raise a warning flag about their honesty!

Their charges page http://www.sippdeal.co.uk/charges.aspx suggests £9.95 for online and £29.95 for telephone. Agree charge is quite high for small investments but a benefit seems to be they have no annual admin charges while you're in the accumulation phase. Maybe an option for people with bigger pension pots who don't want to buy and sell regularly. That's why I am considering them along with H-L et al.

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That's what I was quoting from - no problem with those charges if they're the whole story. It's the inconsistency that concerns me.

Just had a look at old web page from 24 April 2008 http://web.archive.org/web/20080415110717/www.sippdeal.co.uk/charges.aspx Looks like it's all innocent enough and anomoly is because they have reduced online trading costs.

Was for both telephone and internet:

Deal Size Less than £500 = £9.95

£500 - £2,000 = £14.95

More than £2,000 = 0.75% (max £30)

Looks like they are trying to encourage people to do everything online. Internet charges down for bigger trades. Telephone charges up for smaller trades.

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It looks like I'll be in the market for a low cost SIPP in the near future. I've run quite a wide analysis and for me it seems to be down to 2. Currently I have the Alliance Trust Select SIPP just ahead of Sippdeal. Hargreaves Lansdown are out for me.

Full detailed thoughts here http://retirementinvestingtoday.blogspot.com/2010/08/lowest-cost-low-cost-sipp.html

Would love to hear others thoughts.

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It looks like I'll be in the market for a low cost SIPP in the near future. I've run quite a wide analysis and for me it seems to be down to 2. Currently I have the Alliance Trust Select SIPP just ahead of Sippdeal. Hargreaves Lansdown are out for me.

Full detailed thoughts here http://retirementinvestingtoday.blogspot.com/2010/08/lowest-cost-low-cost-sipp.html

Would love to hear others thoughts.

Hi I like your posts WICAO.

For me HL charge too much. I dont want a 0.5% annual fee on stocks, etfs and investment trusts that they don't get a trailing fee from. OK if you want unit trusts but I don't believe the fees on these, typically 1.5%+ work on a 30 year plus investment.

Sippdeal dont charge any additional fee. They get a return off unit funds but don't seem to charge anything for other funds.

One question, do you have to take an annuity with the SIPP provider? Sippdeal told me they take a cut off the anniuity. If so then perhaps there is better options elsewhere than the SIPP provider? I dont want to tie myself to the SIPP provider. I guess you can move?

Do Alliance or SIPP deal offer the HSBC cheap 0.25% indexes, do you know?

Also don't the Vanguard funds require £100k minimum investment in each?

Cheers.

Edited by ringledman

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Cheapest SIPP anyone?

I want a SIPP where I can buy individual stocks, investment trusts and ETFs without incurring such a fee.

Cheers.

Certainly H&L are good - see this article from today ThisIsMoney article which suggests "Share dealing fees range from £9.95 to £29.95. So HL may not be best for heavy share traders."

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Hi I like your posts WICAO.

For me HL charge too much. I dont want a 0.5% annual fee on stocks, etfs and investment trusts that they don't get a trailing fee from. OK if you want unit trusts but I don't believe the fees on these, typically 1.5%+ work on a 30 year plus investment.

Sippdeal dont charge any additional fee. They get a return off unit funds but don't seem to charge anything for other funds.

One question, do you have to take an annuity with the SIPP provider? Sippdeal told me they take a cut off the anniuity. If so then perhaps there is better options elsewhere than the SIPP provider? I dont want to tie myself to the SIPP provider. I guess you can move?

Do Alliance or SIPP deal offer the HSBC cheap 0.25% indexes, do you know?

Also don't the Vanguard funds require £100k minimum investment in each?

Cheers.

Thanks ringledman. I'm just an Average Joe trying to find his way in the complex investment world making some good decisions and some bad. Hopefully long term more good than bad :)

The no annual charge (during accumulation as they charge if you are in drawdown via a USp or ASP) does make Sippdeal attractive. However Alliance charge a fixed annual charge £75 + VAT which as the pot gets bigger the fee becomes less significant.

What I don't like about Sippdeal as I mentioned in the blog post is that you would have to do it all with ETF's as they don't seem to allow the really low cost trackers (no Fidelity UK, no Vanguard and it looks like no low cost HSBC either when I just checked their fund list).

It is my understanding that generally (I guess you could always find some product out there with restrictions) you are not tied into any SIPP pension provider where you are accumulating your pension pot. Does anybody else know different to this? Alliance seem to charge £125+VAT to transfer to another provider.

Personally I probably won't be buying an annuity anyway so not to worried about conditions related to these. With a fair wind I'll be moving to another country and taking my pension to a QROPS. If I'm still in the UK then I'll probably enter into a USP. Who knows, maybe I won't be doing any of these because the government will have tinkered again and changed the rules.

With Vanguard, again only my understanding. I will be sure to check with Alliance closer to time if I decide to head that way but I believe the £100k is only if you invest with Vanguard direct. Through Alliance you don't have such restrictions.

As I always say on my blog don't forget to DYOR.

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Certainly H&L are good - see this article from today ThisIsMoney article which suggests "Share dealing fees range from £9.95 to £29.95. So HL may not be best for heavy share traders."

Hi BearlyBegun

Thanks for the link. Reading the article its nice to see that I found the 3 low cost market leaders to compare. For me HL are out as they don't seem low cost for my strategy of minimising total fees. I want the lowest cost tracking products I can find and from what i can see these become "expensive" with HL.

Alliance and Sippdeal are close with both having pros and cons. Have a read of my blog post for these. I have a little while to decide but so far Alliance seems to have their nose in front. My portfolio would today cost 0.3% and 0.38% per annum respectively with each provider.

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I use 'Sippdeal Xtra' , which is basically their vehicle to enable you to pay into your pension then move you money into you preferred stockbroker account - mine being Selftrade.

For this I get charged around - without looking - £100-£120/ annum in fees by Sippdealxtra . That goes a bit higher once you get over a pot of £25k , I'd have to check how much tho' , don't think it's much more.

My pot isn't huge but the fees in relation to it are pretty minimal imho , rather spend 100 quid on account management than something like sky for instance.

As for selftrade , £12.50 a deal as i recall , i dont deal that often.

Dames

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  • 259 Brexit, House prices and Summer 2020

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      • down 5% +
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      • Even
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      • up 5%



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