Permitted Investments for SIPPs
A SIPP (self invested personal pension) allows policy holders to have a far greater investment freedom than is typically offered by standard personal pensions. SIPP permitted investments (which must be authorised by HMRC - HM Revenue & Customs) include the following:
- Cash
- Commercial property (including hotel rooms)
- Deposit accounts (in any currency as long as they are with a UK deposit taker)
- Derivatives products (for example, Contract for difference (CFD))
- Futures and options traded on recognised futures exchange
- Gilts and overseas securities
- Gold bullion (investment grade)
- Government securities and other fixed interest stocks
- Ground rents (in respect of commercial property)
- Insurance company funds
- Investment trusts (subject to FSA regulation)
- Open Ended Investment Companies (OEICs)
- Permanent Interest Bearing Shares (PIBS)
- Stocks and shares (UK or overseas) quoted on a recognised Stock Exchange
- Traded endowments policies
- Unit trusts (authorised)
- Unit trusts (unauthorised, as long as they don't invest in residential property)
- Unitised insurance funds from EU insurers and IPAs
- Unquoted shares
- Warrants
