Expert makes case for 'lower-end Sipps'
There are retirement savings products on the market in the UK that could be useful for people who do not have sufficient funds to open a "full-blown" self invested personal pension (Sipp), according to one expert.
Mark Andrews, managing director of the Purplecircle Consulting company, insists that there are now "derivatives of Sipps" available to consumers that could meet the needs of people looking for a lower-cost saving option.
Mr Andrews suggests that providers of such products are keen to gain a good relationship with investors, in the hope that they are able to open a full Sipp account later in life.
He said: "[Low-end Sipps] might be a good short-term 'parking zone', if you like, for clients who have got funds that they ultimately might want to turn into a full-blown self investment.
"They might be a good place to grow their funds until such time as they have money to go in to direct property investment, for example."
Almost a quarter of people in the UK have not contributed to any kind of savings vehicle, according to recent research by the Alliance Trust.
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