Flexible SIPP: direct application

Important information. Please read prior to proceeding with your application.

Before applying for a Self Invested Personal Pension (SIPP), you must be satisfied that it is a suitable type of pension for you. Generally SIPPs are suitable for individuals who have built up a significant pension fund and are happy to pay higher fees and charges to be able to invest in a wider range of investments that are not available with other types of pension. You can view our brief guide to find out who our SIPP is and isn’t suitable for.

For many people though, the other pensions available offer a sufficiently large fund range at a lower cost than a SIPP. An example of such a pension is a stakeholder pension.

What is a Flexible SIPP?

The Flexible SIPP is a complex financial product with explicit charges for management and administration which could involve higher charges than other types of pensions available such as stakeholder pensions or other personal pensions. Whilst the Flexible SIPP offers wider investment choice, meaning that you can access higher risk investments, it adds to the costs of the pension. If you're looking to invest predominantly in cash or cash-like assets, the Flexible SIPP is unlikely to be an appropriate product for you. Please ensure you read our Schedule of Fees carefully before proceeding with an application.

Many investments come with risks attached to them, whilst you may consider past performance in making your decisions there are no guarantees that this can be repeated and should not be considered as an indication of what can be achieved in the future. It is important you understand the risks that you are accepting when making investments.

A SIPP may be the only pension that will enable you to invest in certain investments. However, it is important you are satisfied that investments you choose are appropriate for you, with particular consideration as to how much risk you are taking with your pension fund. You should also consider the liquidity of the investments you choose; this may frustrate retirement plans in the future if you cannot sell your investment when you wish to take retirement benefits from your SIPP. BW SIPP LLP is unable to advise you on the suitability, or otherwise, of your chosen investments.

If your SIPP is opened on or after 1 December 2023, you will only be able to invest in a single portfolio with one discretionary fund manager from our panel investment partners unless you appoint a financial adviser to recommend investments suitable for your personal circumstances and objectives.

Considerations before applying for a SIPP

If you are looking to transfer existing pensions to a Flexible SIPP you should understand how the transfer will be made. Some providers will be able to carry out transfers of the actual assets (in-specie transfer) but if you choose / must transfer as cash you need to consider that there could be changes in the market during the transfer period which could adversely affect the value of your pension. You also need to consider whether there are any penalties or exit charges for transferring. In addition you may be giving up valuable benefits when transferring such as:

• some provide a guaranteed income at retirement (or guaranteed rates of converting funds into pension income).  The guaranteed income may be significantly higher than you could achieve after transferring.
• even those pensions without any guarantees may impose a penalty on moving the pension away from the pension provider.

If you are transferring funds that are already in drawdown or partially in drawdown, it is important that you read the ‘Investing for Drawdown’ leaflet before starting your application.

Please note that whilst there may currently be tax benefits available with the SIPP and/or your underlying investments this can change over time and will also depend on your personal circumstances.

We appreciate that reading forms is not everyone's favourite pastime, however, before selecting the Flexible SIPP it is especially important that you read the Key Features Document, Trust Deed and Rules, Terms and Conditions and the Glossary. We've tried to keep our literature simple and jargon free but there are some important points that we must make you aware of so that you can decide whether the Flexible SIPP is right for you. If there is anything in our documentation that you do not understand, please ask; whilst we are not able to advise you on the most suitable options for your circumstances we can explain our product to you in more detail or answer questions in relation to our literature that you are not sure about.

If you wish to find a financial adviser, we suggest you visit this website.

How to apply directly

1. Please call us on 0344 443 0100 to obtain a key features illustration.
2. Complete and return the paper application form (below). Please note that we are unable to process your application until you have obtained a key features illustration.

What happens next?

You need to submit the original signed application form to us plus

• Photo identification (e.g. passport, driving licence photocard, firearms licence - either originals sent by Special Delivery post, or copies certified by an appropriate professional).
• Address verification (usually a utility bill dated within the last three months, but not a mobile phone bill.  Council tax confirmations or driving licences with photocard and paper counterpart can also be accepted).

Please post the full pack to:

BW SIPP LLP
PO Box 1209
Cheltenham
Gloucestershire
GL50 9WE

You can choose a more local office to administer the fund ongoing, but Cheltenham will initiate the set up process.