Have you transferred to a SIPP?
What are self invested pension schemes?
Self Invested Pension Schemes (SIPP) were introduced to fill a gap in the market where a small number of pension holders wanted more control over their investments.
SIPPs were designed for experienced investors who perhaps had an interest in the stock market through experience with shares and unit trusts.
Unfortunately, the product has been abused by many financial firms, resulting in the following:
- Small pensions have been transferred into these schemes and the charges make them less valuable
- Investments in unauthorised schemes have allowed advisors to be paid commission even though commission was banned in 2006
- People who had no intention of directing their investments are now left managing their funds
We are seeing a disturbing number of cases where clients have been advised to transfer their pension into a SIPP and thereafter invest in completely unsuitable products. While these investments can be extremely damaging to the pension holder’s finances, they often pay excessively high commissions to advisors.
There have even been many instances where people have approached retirement only to discover that their investments were worthless.
What type of investment do SIPPs include?
Although this list is certainly not exhaustive, mis-sold SIPPs can include the following:
- Storage pods
- Eco products
- Agri products
- Ethical Forestry
- Overseas property
- Chinese stock
- 10 year property bonds
- Overseas investments
- Hotel schemes
- Car park schemes
How can I claim compensation for mis-sold SIPPs?
If you believe you’ve been mis-sold a Self Invested Personal Pension, please get in touch with our team of specialists. Whether you’ve been duped by a 10 year property bond or encouraged to invest in storage pods only to face high fees, we’ll help you every step of the way and fight for the compensation you deserve.