Investment Management and Stockbroking Services

Tax efficient investing

• ISA
• SIPP

SIPPs
The intelligent solution for your pension investments

Introduction

In the past, sophisticated investors looking for an intelligent solution to their retirement planning requirements would need to invest with several different providers to achieve a balanced and flexible pension portfolio.

Today, with the launch of the Rowan Dartington SIPP, you can enjoy the benefits of bespoke portfolio management through one provider.

What is a SIPP?

The Rowan Dartington Self Invested Personal Pension (SIPP) is a tax-efficient way to invest for your retirement. Your Rowan Dartington SIPP allows your to include a variety of additional investments such as commercial property in your pension. A wide range of additional assets may be eligible as a SIPP investment - your Investment Executive can give you more details.

It gives you access to a variety of investment vehicles which are not available through other types of pension plan. It also allows you to control and alter these investments as you decide throughout the time you are invested. When you retire, you can choose how and when you wish to take your retirement income.

What are the benefits?
Tax-efficiency	All contributions into your SIPP, within your annual allowance and excluding transfer contributions, qualify for income tax relief at the highest rate you pay. Plus, you won’t pay additional income tax or capital gains tax on investments within the SIPP but income tax will be deducted from most dividends.
Investment choice	You can invest in a wide variety of investment vehicles including investment trusts, OEICS, unit trusts, insured funds and quoted shares.
Flexibility	In addition to choosing where you want to invest, you have the flexibility to move your money between investments as your circumstances change. Your Rowan Dartington Investment Executive can help you to develop a bespoke investment strategy which reflects your long-term aims and attitude to risk. You can also stop and start payments or make additional payments as you wish. At retirement, your SIPP allows you to decide how you want to take your income. You can phase your retirement and continue to work; you can take your pension benefits in stages; you can take a tax-free lump sum and you can turn your pension into an income for life. All this flexibility allows you to manage your retirement income as you decide.
Control	The Rowan Dartington SIPP puts you in control of your retirement planning. By providing you with clear investment advice that’s appropriate to your current needs and future goals, we can help you plan effectively for your retirement and make the right decisions when you decide to take your pension benefits.

Understanding your SIPP

How does the SIPP work?

There is no age limit, adults and minors can have a Rowan Dartington SIPP. You decide how much you want to invest and your Rowan Dartington Investment Executive can help you choose appropriate investments.

You can invest by making an initial lump sum payment, setting up regular payments or transferring money from another pension scheme. Consolidating your existing pensions allows you to take advantage of the investment flexibility within your SIPP and to monitor your investments more easily. Your Investment Executive can provide details about minimum payments and generic information about transferring existing pensions.

Your money is held in a dedicated account until you decide where you want to invest. Any dividends, tax credits or income generated by your investments are also paid into this account.

Do you provide investment advice?

Yes, your Rowan Dartington Investment Executive will work with you to create an investment portfolio which is designed to reflect your attitude to risk and achieve your financial goals.

This is a long-term investment so we expect your circumstances to change over time. One of the significant benefits of the Rowan Dartington SIPP is that your investments can be altered as your circumstances change.

Clients wishing to have a Rowan Dartington SIPP should have one of our managed services - chosing either discretionary or advisory.

Are there investment limits?

There is no limit to how much you can invest in your SIPP, but there are limits to how much qualifies for tax relief. You will receive tax relief on up to £3,600 each year or 100% of your UK taxable earnings, subject to the overall maximums shown below.

Annual allowance The maximum total payments made by you and your employer in one tax year
Tax year 2009/10
£245,000
Tax year 2010/11-2015/16
£255,000

Lifetime allowance The maximum amount you can build up in your pension(s) without losing your tax advantages
Tax year 2009/10
£1,750,000
Tax year 2010/11-2015/16
£1,800,000

Can I transfer in protected rights?

Yes, the Rowan Dartington SIPP can hold protected rights although there is an additional charge for this service.

What can I invest in?

Providing tax relief can be claimed, there are no restrictions on the investments you can hold within your Rowan Dartington SIPP. Please speak to your Investment Executive for more information.

Can I monitor my investments easily?

Yes, you can get an up-to-date valuation on your portfolio at any time by visiting the client log-in area of our website.

How much does it cost?

We provide a bespoke portfolio management service, so you can be sure the advice you receive is tailored specifically to your circumstances and requirements. Our full costs will be detailed on your personal illustration. Clients who wish to have a SIPP on an Execution Only or Advisory Dealing basis will be charged £250 p.a. + VAT management fee. See the enclosed SIPP rate card for a full set of fees and charges.

Where can I find out more?

Your local Rowan Dartington Investment Executive will be happy to speak to you about setting up a SIPP. Click here to contact your local branch.

If you would like pension transfer advice, please ask your Investment Executive who will give you more details.

Further information

Your SIPP fund and the amount of income you take at retirement are not guaranteed and the value of them can go down as well as up. Their value depends on how much you invest, investment performance, the amount of money you take out of your fund and the cost of converting your fund into an income.

All statements about tax are based on our understanding of current tax laws. These laws may change in the future. Any income you take may be subject to a tax charge.

We employ a professional SIPP management company to administer the SIPP on our behalf. The SIPP Provider is the LifeTime SIPP Company Ltd, which has appointed Hartley SAS Ltd to carry out administration on its behalf.

Investments

The value of investments can fall as well as rise, is not guaranteed and you may get back less than the amount invested.

Past performance must not be viewed as an indication of future performance.

The cost effectiveness of your SIPP may depend on a number of factors, including:

• the size of your SIPP in relation to the initial and ongoing costs (including our charges, which may increase in future);
• the type of investments held;
• the frequency with which you deal; and
• the size of transactions undertaken

General

The tax benefits and governing law for SIPPs may change in the future.

Your benefits are dependent upon a number of factors. Although not a complete list, these factors include future contribution levels, the age at which you commence benefits and external influences such as investment returns, inflation, interest rates, annuity rates and charges.

Transfers in

By transferring other pension benefits into your SIPP you may be giving up the right to guarantees in the form of benefits, the amount you will receive and also the level of increases that will be applied to your pension in future.

You may be giving up the right to receive a terminal bonus on with-profit pension plans.

A penalty may be applied to your existing pension plan if it is transferred.

We are able to provide pension transfer advice and illustrations, please ask your Rowan Dartington Investment Executive for more information.

Charges and fees
SIPP Set Up Fee	No Charge*
SIPP Annual Fee	No Charge**
Investment Management	As per Rowan Dartington Rate Card
Dealing Commission	As per Rowan Dartington Rate Card
In-Specie Transfers In	1% value of transfer (min £500 +VAT)
Transfers Out	£75+VAT per transfer
Protected Rights	£100+VAT p.a.
Pension review every 5 years up until the age of 75 and yearly there after	£210 +VAT
Property Acquisition	£665+VAT per property
Property Administration	£260+VAT p.a.
Property Disposal	£210+VAT per property
Benefit Crystallisation	£210+VAT per event
Pension Payment Administration	£100+VAT one off fee
Winding Up Fee	£300+VAT
Deed of Assignment	£100+VAT
Fund Valuation if more than one in a year	£50+VAT
Interest on Cash Balances	As per Rowan Dartington Rate Card

*A set up fee of £425 + VAT will apply to SIPPs holding commercial property as well as an annual fee of £200 + VAT.

**Execution Only and Advisory Dealing clients to be charged a £275 p.a. + VAT management fee.

All fees are subject to the addition of VAT and may be increased each year. Additional services are by negotiation, depending on the level of work involved. We will always give you a firm quotation of the cost before undertaking any additional work. Please ask for details.

All charges will be made quarterly in arrears. Additional charges for valuation and reporting on exception items e.g. commercial property will be charged at cost. Property must be held in a ‘box company’.

The Rowan Dartington SIPP will accommodate all allowable investments. Nothing that may give rise to a taxable charge may be included in your SIPP.

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