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Jupiter Asset Management is trying to work how it can launch a simple and inexpensive "Lite" Sipp.
The group wants to set up a pension wrapper that is less flexible but cheaper than its existing Sipp, which is administered by Suffolk Life and costs £420 a year. The simplified Sipp would only offer access to Jupiter funds initially.
Matrix Securities are a large provider of commercial property tax vehicles. ‘The interest in property over the last two or three years has been huge,’ says Nick Hill property sales and marketing director at Matrix.
Hill maintains that investing in property limited partnerships will be much easier after A-Day. ‘We have lots of experience of single asset deals like limited partnerships. At the moment Sipp investors have to invest through an onshore feeder trust which is the ‘approved’ vehicle. This then invests in the offshore property partnership. After A-Day this won’t be necessary and you can invest direct. It simplifies the investment and should reduce costs.' you will be able to cut out the middleman and save on annual costs but the SIPP market is very new and there are plenty of cowboys in the market you need to check out who you are dealing with and have they been approved by the FSA.
Matrix offers a couple of investment options
• Matrix Number One unit trust
• Matrix UK Commercial Property fund
• Matrix European Property Trust this has not been launched yet but is the most interesting there has been two investment companies who have just recently launched on AIM who cater for individuals looking to invest in the German market.
Minimum investment in the syndicates or partnerships tends to be around £25,000, sometimes higher, while investment in the funds can be as little as £10,000.
PropertyInSpain.Net has just launched a new Spanish Sipp tax
shelter called Libertad,
Libertad tax break buying comes with a co-ownership option
for families and friends to buy the freehold between them and share the costs,
delights of regular holidays in the sun and the rental income when they can't
be there to use it themselves. It's not like timeshare or holiday bond homes as
everybody owns the fully notarized and registered freehold.
The prices above are per person, based on three families or
friends buying together. That's called a Libertad 3 but two couples can buy
together or workmates. They need only around £10,000 in cash each to get on the
sunbelt property owning ladder because Spanish banks have set up in
Libertad is 100 per cent legal under Spanish and EU law
because it outlaws "black money", shady deals and makes it easy for
all the owners to pay any taxes due in
An individual family can still buy a Libertad home and
benefit from the tax breaks - 20 per cent off capital gains tax for a start and
no inheritance tax - and choose from 11,000 new, offplan and resale homes
across 10 Costas plus Spanish islands, Lanzarote, Ibiza and Mallorca.
Domingo Diaz Carrillo, Jefe de Departamento of Caja Murcia
bank, said: "As PropertyInSpain.Net already manage our online network of
840 property outlets in
Other Libertad partners include Travelex and Halo Financial
providing low cost currency, Solbank/Banco Sabadell, CAM Bank and
It is best to wait for clarification on A day to double check Gordon does not close this loophole.
Two office buildings have been snapped up at a new £4m development in Stockton.
Barnard Castle-based Rokeby Developments has announced the sale of two office buildings before construction commences at Bowesfield.
Archers Law has used the benefit of a Self Invested Personal Pension - SIPP - to buy the building.
Chief executive David Collier believes moving into the new premises will be a more accurate reflection of the size and stature of the business, which the present premises fail to do.
He said: "All of the members of Archers Law have contributed funds to the SIPP to purchase our new offices. I believe this shows their positive commitment to the future growth of the firm.
Nick Fordy of Rokeby Development's said: "This was a complex deal that has taken some time to come together, but Rokeby is delighted with the end result and the fact that both units have been sold prior to construction work commencing shows a mutual trust between the end users and ourselves.
"Commercial property is still seen as a good investment and in the Tees Valley area indications are that demand is still strong."
"A SIPP can be used to invest in commercial properties directly or via property shares; for example a person could buy a property through their pension and run a business from it."
Buying a commercial property through a SIPP is reasonably straightforward and can give a number of benefits:
* The cash in a SIPP can be used as a deposit for the purchase.
* The trustee can borrow up to 75pc of the purchase price to help fund the purchase.
* The purchase price should be within a margin plus or minus 10pc of the market value of the property.
* A property can be bought for the benefit of more than one SIPP member.
* Contributions to the SIPP will attract tax relief at the marginal rate, so by buying a property in this way it allows the tax relief to be used to help towards the cost of buying the property.
* The trustee can lease the property back to a business at a commercial rent which is paid into the SIPP.
* The rent paid is a justifiable business expense that can be offset against the business income for tax purposes.
* Rental income coming into the SIPP does not count as a contribution - just income from the investment. This means that contributions within the usual Inland Revenue limits can continue.
* No tax is paid on the rental income when it is received into a SIPP, so any mortgage repayments will be paid out of the gross rental income in the fund.
They must be confident that Gordon Brown is not going to change the SIPP plans again.
