SIPPs are wonderful and can give the investors something better than what usual pension schemes have to offer. As a result, many pensioners are pulling their funds out of pension schemes to go into SIPP. While SIPP may carry some measure of risk, it also has its own benefits; for one, it gives the pensioner a better control over his investments, unlike in pensions schemes where the pensioners have limited control over how their funds are being invested. However, the benefits of SIPP has now been accompanied by the issue of mis sold pension, in which many pensioners seeking to go into SIPPP make mistakes in their investments. Cases of mis sold pensions UK is spreading like wildfire with many of the UK pension getting affected almost daily.
The SIPP idea was birthed in the UK as far back as 1990 and the idea was first formulated by former Chancellor Nigel Lawson. Lawson formulated the idea to give individual investors an opportunity to know how his or her money has been invested or how his pension fund is being managed, which is better than just handing over a fraction of your salary to someone else to manage for you.
The pension's schemes rarely yield much money and the pensioner may not have access to much money to make his retirement days to increase. The reverse is the case in SIPP, in which the return on investment is relatively huge and the pensions are sure that the yield will be sufficient to make his retirement period an enjoyable one. Even if you are ever faced with the issue of mis sold pensions UK as a result of venturing into SIPP, you can still get the service of solicitors to help out and resolve the issue.
If you find any share that catches your fancy and looks good to yield a lot of profit, you can pull out your funds from pension schemes and invest the fund in shares, be it in emerging markets, small companies or FTSE 100. You can equally go into more exotic investments, an example of which is commercial property investment. If you ever encounter mis sold pensions UK in the process, just get in touch with a consultant for a quick resolution.
Each of the investments you make through SIPP enjoys similar tax benefits just like any other investment you make via a standard personal pension. Only the wealthy individuals could venture into SIPP in those days when they were first launched. However, things have changed a great deal today; ordinary investors can now successfully participate in it. These days, many small-time pensioners with small capital can now register with any of the investment platforms offering very affordable services so that every investor can participate in the management of his money. Mis sold pensions UK can always be resolved when such an issue arises consequent of your SIPP participation.