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BenFairfax

Manx Sipp

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I am looking for a cost effective Manx SIPP provider and after searching the best provider I have found so far is:

 

Xerrit Pension Trustees Limited

http://www.xerrit.com/

 

unfortunately you cannot buy direct and hence need to go via an IFA. Has anyone else had experience with this provider? And/or IFAs who resell this product?

 

Thanks in Advance,

 

Ben

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unfortunately you cannot buy direct

 

That would set alarm bells ringing for me. Especially if you could not deal through your bank.

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unfortunately you cannot buy direct

 

That would set alarm bells ringing for me. Especially if you could not deal through your bank.

 

A lot of organisations, especially financial companies, will not deal direct with the public as they like their clients to have had financial advice to ensure the product that they are providing meets the clients needs.

 

Now I know that opens a whole can of worms and in some cases doesn't work, because the FA's are paid commission and they often sit in insurance/pension providers pockets, but if you look about you'll find that you can't go and buy a pension off the shelf (that easily), i.e. standard life, norwich union, pru etc and the same with insurance, and quite rightly. I'd want a qualified FA to talk me through the options and to make sure I was getting the best deal.

 

If you do want one, just look up an FA, you can choose to either pay them a fee for their advice or let them take commission, either way you've got comeback in case of mis-selling.

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I am looking for a cost effective Manx SIPP provider and after searching the best provider I have found so far is:

Xerrit Pension Trustees Limited

 

Looks like feeble attempt at viral marketing to me.

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I seem to recall that you were setting yourself up as some sort of financial adviser to the Manx population?

Do you really think that advice from self-opinionated, intolerant (and possibly insane) members of this site is the best that you could offer to your clients?

"Well Mr noname, I received this advice from ManxForums. Give all your money to Robert Maxwell's companies." Sound.

I don't think I'll be searching you out for financial advice.

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I am looking for a cost effective Manx SIPP provider and after searching the best provider I have found so far is:

Xerrit Pension Trustees Limited

 

Looks like feeble attempt at viral marketing to me.

 

I have no connection with these people and SIPP structures are just standardized off-the-shelf structures. Paying 250 GBP setup + IFA sales commission is just a cheaper way to establish this structure than via other routes I have found. If you know a better route please let me (and other readers of this forum) know for the sake of the common benefit.

Edited by BenFairfax

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I am looking for a cost effective Manx SIPP provider and after searching the best provider I have found so far is:

Xerrit Pension Trustees Limited

 

Looks like feeble attempt at viral marketing to me.

 

I have no connection with these people and SIPP structures are just standardized just off-the-shelf structures. Paying 250 GBP setup + IFA sales commission is just a cheaper way to establish this structure than via other routes I have found. If you know a better please let me (and other reader of this forum know) for the sake of the common benefit.

 

Is it really as easy as that.

 

I looked at the web site link, there appeared to be no ongoing adminisration costs. That just is not possib;e if they are doing their job correctly

 

A SIPP is a trust, One of the Trustees has to be a recognised (by IPA) Pension Trustee. It has to ensure compliance with IPA and Treasury regulations, prepare accounts and also be involved in policy like what to invest and where, you cannot invest in anything you like, and review, appointment investment adviser etc.

 

The resaon for the rquirement of a Pension Trustee is the need for compliance with complex rules under the Tax legislation, the IPA rules and the Trustee Act 2001.

 

The real cost of a SIPP is not the set up cost but the annual running costs.

 

My understanding of IOM SIPP rules is that you never have to buy an annuity, but the site seems to say you do at 75. There are some other oddities as well such as the tax charge on death to pay out the fund to your heirs?

 

I stress I am not a pensions lawyer or expert, but these were just somethings I thought didn't tie in with my experience. Is the minimum pay out age 50 or 55 now?

 

I streess

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I've had Blythe Financial around trying to get us to go with them and Xerrit instead of Norwich Union. Still looking into it at the moment. Have some printed stuff if you're interested Ben.

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I've had Blythe Financial around trying to get us to go with them and Xerrit instead of Norwich Union. Still looking into it at the moment. Have some printed stuff if you're interested Ben.

 

Thanks for the offer, if you have the files in electronic version please send them through. At present, I am now talking to two IFAs about this and I am happy to send you through the market materials I have. I first got a power-point presentation which was clearly designed to push me towards buying unit trusts (which generally offer the IFA 3% sales commission and 0.5% trailing). When I explained I would be going the fee (rather than commission) and self-investing (via brokerage account) route I got another PDF through. On the fee side one sent me some rates (basically mark-up the Xerrit rates by 100%) and charge 250-150 GBP/hour for advice and 75 GBP/hour for admin.

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I'm thinking of heading down the SIPP route at some point this year. Anyone got any experiences or recommendations?

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It strikes me with SIPPs that it is a quid pro quo. You can save on tax provided you line the pockets of those in the cosy club.

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I know a number of people with Boal & Co who seem quite happy with the set up

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It strikes me with SIPPs that it is a quid pro quo. You can save on tax provided you line the pockets of those in the cosy club.

Well I suppose you can't have a SIPP for free.

 

And I'd rather pay to the right provider than paying Insurance wrapper costs and all that goes with it.

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Having gone through the SIPP purchase route last year, and knowing what happened in the budget this year, I would be waiting another year or two to see what iomgs next move is. In theory the Manx SIPP is great, but you can still only take income based on gilt rates. From that point of view, you may as well buy an annuity. If they decide to allow you to take the lot and pay tax, you will be better off managing it yourself.

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I dont have a massive issue with gad rates. You can get up to 120% of gad rates. Which isn't that bad. Long term I suspect we'll follow the UK.

 

It isn't any different for a sipp to my current insurance arrangement.

 

Who did you use for your support and what costs?

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