A Self-Invested Personal Pension, or SIPP, is a type of pension that gives an individual some influence over the investments held in their pension. Since 2014, the Financial Conduct Authority (FCA) has allowed investors to invest in and hold physical gold as part of a SIPP portfolio.
“A SIPP puts choice and control in the hands of the investor, with many deciding to add gold to their SIPPs because of its long-term performance.” Nicola Davies, Investment Options
- Why do Investors Choose SIPPs?
- Why Invest in Gold?
- The Tax Benefits of a SIPP
- Why Invest with the Home of Precious Metals?
Through a SIPP, an individual can access a range of investment opportunities and tax benefits. They are able to consider a wider range of providers and asset types than if they held a pension with a single provider.
Why do Investors Choose SIPPs?
Those who favour SIPPs are often comfortable making their own investment decisions and are prepared to manage their pension contributions personally. People are also attracted to them as they can be used to consolidate other pensions, as part of overall plans for their futures and that of their families.
Why Invest in Gold?
Gold has long been considered a ‘safe haven’ investment as the precious metal historically reacts conversely to the market, offering security against stock investments. In view of this, some pension experts, including the World Gold Council, recommend strengthening a pension portfolio by holding up to 10% of investments in gold or other precious metals.
The Tax Benefits of a SIPP
SIPPs offer an efficient way of planning, as there is a tax relief of up to 45% available on the amount paid into the pension. The level of tax relief depends on the rate of income tax an individual pays and is available to people under 75 years of age. In addition, tax is not paid on any funds that remain in a SIPP; tax is only paid on money that is withdrawn.
Why Invest with the Home of Precious Metals?
The Royal Mint offers many different ways to invest in gold, including through pensions, savings plans and wealth management services. We work with more than 30 SIPP providers to offer gold within pension investments, which differ in range and cost with each provider.
To include gold in your pension, request a call back today or email us at: financialproducts@royalmint.com