The cheapest Self-Invested Personal Pension (SIPP) providers
Aberdeen’s interactive investor* has topped a ranking of Self-Invested Personal Pension (SIPP) providers in the UK. According to Kepler Trust Intelligence, interactive investor* substantially undercuts its competition in terms of fees and was awarded “best all-rounder”. For a portfolio value of £250,000, an interactive investor customer would pay £204 in fees. In comparison, an investor [...]
Aberdeen’s interactive investor* has topped a ranking of Self-Invested Personal Pension (SIPP) providers in the UK.
According to Kepler Trust Intelligence, interactive investor* substantially undercuts its competition in terms of fees and was awarded “best all-rounder”.
For a portfolio value of £250,000, an interactive investor customer would pay £204 in fees. In comparison, an investor using Bestinvest would pay £1,030.
However, AJ Bell, which scores second place in the overall ranking, maybe the better choice for those investors with a smaller portfolio.
On a portfolio worth £20,000, AJ Bell’s fees are just £89 compared to £120 as charged by interactive investor*.
Fees charged by major providers
| Portfolio value | £20,000 | £100,000 | £250,000 |
| interactive investor* | £120 | £204 | £204 |
| AJ Bell | £89 | £284 | £472 |
| Charles Stanley Direct | £180 | £300 | £600 |
| Fidelity | £135 | £310 | £385 |
| Hargreaves Lansdown* | £162 | £497 | £834 |
| Bestinvest | £150 | £430 | £1,030 |
Still, the report says that when it comes to larger portfolios, interactive investor* offers the best value.
The firm also took home the gong “best for customer service”, with Kepler highlighting its 4.8 rating on Trustpilot – the highest of the brands in the ranking.
Jo Groves, Investment Specialist at Kepler Partners, said: “Choosing the best SIPP provider can make a significant difference to individual retirement savings, particularly in terms of maximising the value of your portfolio and minimising fees.”
“Over the long term, even small differences in fees can reduce the value of a portfolio by thousands of pounds – the difference between a flat fee and a one per cent platform fee could be £150,000 over a 30-year period.”
Interactive investor has more than 430,000 clients with a range of 40,000 investment options – with the firm setting itself apart with a flat platform fee structure, rather than being percentage-based.
Groves added: “It’s worth carefully weighing up the pros and cons of different pension providers to find the best option to meet your needs.”
