Fidelity FundsNetwork slashes SIPP annual charges

Fidelity FundsNetworkTM has slashed its SIPP annual charges, meaning that any new investments of £150,000 and above now attract no annual fee. This exciting new offer means potential savings of £260 a year in charges for the life of the plan.

If investors held onto the SIPP for 25 years their total savings would be £6,500. Moreover, if invested even into a low risk portfolio over 25 years, an additional £260 a year could generate an additional £16,000 of investment returns even if markets perform poorly.

The offer, which runs from a limited period between Monday 9 February and Sunday 5 April 2009, waives the £260 annual charge for new applications with a gross value of £150,000 or more, invested into platform mutual funds or the trustee bank account within its SIPP.

Formerly, investors required a minimum initial investment of £250,000 to qualify for a plan free of this annual charge.

Peter Hicks, Head of UK Retail Sales at Fidelity International, says: "This market beating offer gives investors a unique opportunity to make significant long term savings at a crucial stage in the tax year. SIPPs are a vital part of tax planning, and given we may see comparatively less ‘new' money in the market this year, advisers considering transferring client assets need to choose carefully in the run up to 5 April. With FundsNetwork already offering one of the UK's best value SIPPs, this special offer gives a compelling reason to move client assets currently sitting in less flexible retirement savings vehicles."