A Self-Invested Personal Pension (SIPP) is a more sophisticated personal pension plan, geared to be more investment-driven. A SIPP will also give you access to a greater range of investment options; namely individual shares, commercial property, Structured Products, and Cash Deposit Accounts.

In addition it offers the ability to enter Flexi-Access Drawdown in retirement.A SIPP is therefore a wrapper for investment vehicles similar to other defined contribution schemes. All investment growth and income is tax free, but unlike personal pension plans, you can buy into funds not commonly available to the majority of personal pension and stakeholder policy holders.

Due to SIPPs offering a greater range of investments they are traditionally tailored for individuals’ that wish to specialise their retirement planning.

​Although there is a wider range of investment products available, typically most SIPPs’ core holdings are in OEICs or Unit Trust. Usually these funds are invested directly rather than in a mirror or pension copy of the investment fund.