SIPP Providers that permit SITR investments
Tom
Member
During Tuesday 26 Sept Howwow on What is social impact investing? Dan from EQ Investors or Gavin Francis from Worthstone mentioned that these are available in a SIPP but did not mention the company who does.
Please could anyone respond if they know any SIPP providers that do, plus other unquoted companies
Please could anyone respond if they know any SIPP providers that do, plus other unquoted companies
Comments
You would tend to hold SITR investments directly due to the tax breaks just like you would hold an EIS directly. Just like EIS, these are small organisations and if they are using CIO structures they would not be listed. So you wouldn't hold them through a SIPP. Obviously, if the underlying company did really well they might eventually list and you would then be more likely to hold it. There are not many SIPP providers prepared to hold unquoted companies at all anymore due to the capital adequacy rules - have a look on Defaqto to see if you can find one.
https://www.gov.uk/government/publications/social-investment-tax-relief-factsheet/social-investment-tax-reliefWhat you can do is invest in normal retail funds (OEICs/UTs) and Investment Trusts. These are (generally) fine for SIPPs. This is what we do with our Positive Impact Portfolios. If you take a mosey around our website you will see some info about the types of things we put in our models. We use normal OEIC/UTs for our models https://eqinvestors.co.uk/dfm but have included investment trusts in our bespoke client portfolios.
Hope this helps answer your question, Tom.
Dan
Chartered Financial Planner
Certified Financial Planner
Head of Technical at Paradigm Norton
Twitter: https://twitter.com/danatkinsonuk
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https://eqinvestors.co.uk/investing/impact-investing/sitr/
Chartered Financial Planner
Certified Financial Planner
Head of Technical at Paradigm Norton
Twitter: https://twitter.com/danatkinsonuk
Instagram: https://www.instagram.com/danatkinsonuk/
I've just come across this post looking for more information about SITR. Have had a look at the link on your website @DanAtkinsonUK - is it still only the Resonance Fund(s) available? Just trying to establish how advisers can help their clients take advantage of this tax relief or whether it's really just a direct investment (non-advised) area. Thanks.
Hi @lauroyle. You tend to get smaller projects/organisations using SITR relief rather than funds from what I can see. I.E. Charities/relevant organisations have a project in mind to fund and then use this relief. Resonance are very active in helping organisations in this area (hence the funds). Have a look at Worthstone as they may have a bit more info (our focus is more on portfolios).
https://www.gov.uk/government/publications/social-investment-tax-relief-factsheet/social-investment-tax-relief
Chartered Financial Planner
Certified Financial Planner
Head of Technical at Paradigm Norton
Twitter: https://twitter.com/danatkinsonuk
Instagram: https://www.instagram.com/danatkinsonuk/
Thanks Dan.