Momentum Pensions has simplified fees for its Sipp range following feedback from advisers and clients who want increased transparency over charges and the level and number of fees.
The new simplified charging structure will help more meaningful comparisons between products.
In line with this move, Momentum has created a new property Sipp designed for those looking for a commercial property investment with a simplified fee structure that has charges clearly stated upfront.
John McCreadie, head of sales (UK) at Momentum Pensions, said: “Advisers continue to highlight the need for clarity over charges and the demand for a system where they can easily compare products without having to wade through endless reams of complicated small print.
"There is a particular lack of clarity in the property purchase market which is an area that needs addressing urgently and the Momentum Property Sipp is designed to do that.”
The Sipp range offered by Momentum also includes the Core Sipp, which is a standard Sipp with a panel of quality investment providers; an Advanced Sipp with open architecture Sipp for those with more sophisticated investment needs; and there is the International Sipp which is designed for the needs of non-UK residents.
Colin Rodger, managing director at Glasgow-based Alexander Sloan Financial Planning, said any simplification of fees in Sipps would be helpful as the ones he used charged per event or transaction rather than a percentage, as well having lengthy fee menus.
"Particularly with property transactions, a lot of fees can come out of the process which maybe you were not expecting," he said.
"The fees are maybe not quite as clear and upfront as they could be."
david.rowley@ft.com
