The judgment reached by the FOS in the Berkeley Burke case was significant because it placed a clear emphasis on the duty of care SIPP providers owe their clients to properly vet unregulated investments.
What Makes for a Reliable SIPP Provider?
In light of the Berkeley Burke ruling and the latest FOI revelation, any person who is considering the question of whether a Self-Invested Personal Plan might be suitable for them should run through a checklist of important questions including the following:
- Does the SIPP provider have suitable professional indemnity insurance?
- Who is providing the indemnity cover and can it be relied upon?
- Does the cover come with any limits and exclusions?
- What is the level of excess provided by the cover?
- Have you received appropriate, independent advice regarding your suitability for a SIPP transfer?
- Has your advice resulted in a positive recommendation – i.e. you have been told that a SIPP is in your best interests?
- Is a SIPP compatible with your cashflow needs?
- Is a SIPP compatible with your legacy plans – i.e. the future needs of your spouse and/or descendants?
- Are you a sufficiently sophisticated investor to understand the implications of a SIPP?
SIPPs Planning with Blacktower FM
Blacktower FM firmly believes that an investment plan should be designed to meet your particular goals, cash flow needs, time horizon and risk tolerance.
We are committed to ensuring that our clients with international pensions receive independent advice and that they develop a diversified portfolio of assets and regulated products offering long-term and tax-efficient solutions to their particular cross-border financial concerns.
For more information about how we may be able to help you protect and grow your wealth for retirement and the legacy you will leave behind you, contact your local Blacktower office today.
* https://www.moneymarketing.co.uk – Accessed 02-05-19
This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
So, you’re wondering – what is ‘robo-advice’? There is a growing market in the UK of online offerings where, instead of going for a consultation with a financial adviser, you use a questionnaire devised by the provider which, depending on your responses, advises you where best to put your cash. Investors are placed in a broad investment strategy that, in theory, suits their objectives and attitude to risk. These strategies largely consist of passive investments which ‘track’ an index.