SIPP charges

All charges will be deducted from your SIPP.

These charges and rates are effective from 9 September 2016 to 30 September 2016.

Set up and administration

SIPP custody charge

Buying and selling investments (per deal)

Regular investing (per deal)

Funds (Unit trusts and OEICs) charge

Benefits, transfers out and other charges

Interest rates paid on the cash held in your SIPP account

Notes

SIPP custody charge

• The charge is payable quarterly, based on the total mid-price value of your SIPP at the end of the calendar quarter and will normally be collected within 20 business days of this date.
• For new accounts opened during the calendar quarter, the SIPP custody charge will be applied on a pro rata basis from the date of account opening to the end of the quarter. For accounts closed in the calendar quarter, the SIPP custody charge will be applied on a pro rata basis from the beginning of the quarter to the date we receive your closing instruction.

Buying and selling investments

• The online dealing charge is determined by the number of deals you placed in the previous calendar month across the accounts in your individual name (excluding any regular investment deals). For example, the charge you pay in February will depend on the number of deals you made in January. If you make 10 or more online deals a month, then the £4.95 charge will apply the following month.
• The investments that you choose may have their own initial and annual charges, in addition to our dealing charges.
• Dealing charges apply separately to purchases and sales. The dealing charge for each transaction will be shown on the contract note.
• When the market is unable to execute your limit or stop loss order in a single deal, we may have to complete your order through a number of deals. In this case our standard online dealing charge will apply for each deal.
• Stamp duty of 0.50% applies on all purchases (not sales) of UK quoted shares (1.00% for shares quoted on the Irish Stock Exchange). Stamp duty is payable on certain securities issued by UK incorporated companies where these securities are traded as CREST Depositary Interests. There is no stamp duty on purchases (or sales) of unit trusts, open ended investment companies (OEICs), exchange traded funds (ETFs), warrants and government stock.
• The PTM (Panel on Takeovers and Mergers) levy of £1.00 is payable on equity trades with a consideration over £10,000 in securities of companies which are incorporated in the UK, Channel Islands or the Isle of Man.

International dealing

• Additional government and local stock exchange charges are payable for certain international markets. These will be added to your contract note.
• A foreign exchange charge of 1.00% will be included in the rate used to convert the value of your deal to sterling. We may share a proportion of this with our service provider.

Fund charge

• The fund custody charge is payable quarterly, based on the total mid-price value of funds and structured products held at the end of the calendar quarter and will normally be collected within 20 business days of this date.
• For new accounts opened during the calendar quarter, the fund charge will be applied on a pro rata basis from the date of account opening to the end of the quarter. For accounts closed in the calendar quarter, the fund charge will be applied on a pro rata basis from the beginning of the quarter to the date we receive your closing instruction.
• The fund charge applies to all funds available to be purchased through us. It does not apply to certain funds whose annual management charge includes platform fees or trail commission or to exchange traded products, investment trusts or VCTs.
• To check whether a fund charge applies to your fund holding, go to your portfolio page and click on the research icon next to your fund. A custody charge applies if the value of the custody charge field on the key stats section of the fund details page is ‘Yes’.

Benefits and transfers out

• The annual charges will be payable when the SIPP is first put into drawdown or the regular uncrystallised funds pension lump sums set up, and on each anniversary thereafter.
• The closure charge will apply where you have reduced the value of your SIPP to £1,000 or less through taking flexi-access drawdown or uncrystallised funds pension lump sums within 12 months of opening your SIPP. We will be entitled to close your account and pay the remaining funds to you, after deducting our charges. The closure charge does not apply to SIPPs opened before 6 April 2015.

Investing in unit trusts and OEICs

• If you are investing in unit trusts and OEICs, we off er discounts on the initial charge made by the fund managers. Any specially negotiated discounts of initial charges on unit trusts and OEICs are passed to you. See our funds universe for details. Information on the annual charge for the unit trust or OEIC may be obtained from our website, or direct from the fund manager.
• On certain funds we may receive a part of the fund manager’s annual management charge each year. The annual amount received varies from one fund to another up to 0.75%.
• Any funds that you transfer to us that are not clean funds, but have a clean fund equivalent, will be converted into that clean fund equivalent. If there is no clean fund equivalent we will hold the fund in its existing form, but will be entitled to convert it in future if a clean fund equivalent is created. We do not charge for conversions.

Interest rates paid on the cash held in your SIPP cash account

• When comparing charges between different SIPP product providers, you should also compare the interest rates payable on your cash, particularly if you intend to hold significant sums of money in cash. The amount of interest paid will depend on the amount you choose to hold in cash and market interest rates.
• The interest rate for each tier only applies to money held in that tier and not to the account balance as a whole. Total interest paid will be a blended rate depending on the money held in each tier. Therefore the interest rates shown should not be used for comparative purposes with other accounts, unless they operate on a similar basis.
• Interest rates are subject to variation and interest is paid to your account quarterly, in arrears. Interest will not be credited or paid if the amount of such interest, at the end of each quarter, is less than £2.50.
• There are no routine bank transaction charges and interest is paid to your account without any deduction of tax.
• The Annual Equivalent Rate (AER) represents the annual rate eff ectively received by your account if the interest at gross rate applied during a year remained in the account and itself earned interest.
• AJ Bell receives payments from banks based on the aggregate cash balances held across all accounts. The amount we receive will vary depending on the total cash balances held and market interest rates. Over the foreseeable future, we expect to receive between 0.25% below and 0.6% above the prevailing base rate for cash held within a SIPP, although it may be higher or lower when interest rates are volatile. These payments are used to pay interest at the rates shown on our website, and we retain the amount received above these rates to keep our administration, custody and dealing charges low.

Miscellaneous

• You must always ensure that there is sufficient cash held to cover our charges and any SIPP benefits, or other payments, when they are due for payment.
• VAT is only applicable where indicated.