A pension is a long-term investment. Its value can go down as well as up and could be worth less than was paid in. Laws and tax rules may change in the future. Your own circumstances and where you live in the UK will also have an impact on tax treatment.

Is a SIPP right for you?

A SIPP may be right for you, but we have other pension options too. If you want to pick your own funds but don’t have an interest in options like commercial property and specialist funds our Active Money Personal Pension (AMPP) could be right for you.

Let’s see how the SIPP and AMPP compare:

SIPP

This could be a good option if you have the time and confidence to pick from our extensive range of investment choices. With a SIPP you will:

  • Choose from hundreds of pension funds plus thousands of mutual funds, Stocks & Shares and cash (SIPP bank account). Some funds can only be invested in through a financial adviser.
  • Need to regularly review your investments
  • For basic rate taxpayers: Pay in a minimum of £240 per month or make a yearly payment of £2,400
  • Your payments are topped up by HMRC with basic rate tax relief. For example, £2400 becomes £3000 with basic rate tax relief added.

Active Money Personal Pension (AMPP)

Choose your investments from hundreds of pension funds or pick an Easy investment option and let the investment specialists manage them for you.

  • If choosing the DIY option, you will need to regularly review your investments
  • If choosing the Easy option, you can pick a simple fund option based on your attitude to risk, with the option to change it
  • For basic rate taxpayers: Pay in a minimum of £80 a month or make a yearly payment of £800
  • Your payments are topped up by HMRC with basic rate tax relief. For example, £800 becomes £1000 with basic rate tax relief added.