You can use your pension fund to invest in one of our green investment packages using a SIPP.
A Self Invested Personal Pension (SIPP), is a personal pension which the person investing for retirement decides where their pension fund is invested.
Any type of pension can be transferred into a SIPP. Many people have ‘frozen’ pensions (pensions they’ve stopped paying into but still have value) from previous employment or businesses and/or personal pensions that they can transfer.
Global Forestry Investments complies with the laws relating to UK personal pensions, so it can be placed in a SIPP or a SSAS (Small Self-Administered Scheme). Global Forestry Investments also complies with the laws relating to Irish Self-Managed Pensions. The arrangements for ownership overcome the legal and practical problems relating to the holding of overseas property in a pension.
Tax Exemptions and Reclaims
The advantages of investment through a SIPP arise from its tax exemptions and rebates. The Returns are exempt from UK Income Tax and Capital Gains Tax. Income Tax can also be reclaimed on the money invested through a SIPP: the SIPP Provider reclaims the standard rate, while Investors on the higher rate reclaim this directly in their tax return so in effect a £20,000 investment costs only £12,000.
The majority of SIPP investments are financed by transfer from existing managed pensions, many of which perform poorly. An Independant Financial Advisor (IFA) advises on transfer values, and the SIPP Provider administers the transfers.
Independant Financial Advisor
An IFA is generally needed to help complete the very complex SIPP application forms, as well as advice on transfers. If an Investor wishes to invest in Global Forestry Investments through a SIPP, but does not have a suitable IFA, we can provide contact details of an appropriate IFA.
The majority of SIPP Providers are not willing to hold property investments. However, we have arrangements with major SIPP Providers who are willing to hold Global Forestry Investments products. Global Forestry Investments can make arrangements for potential investors and their IFA’s to explore the opportunity via our financial team.
While investment through a SIPP is very attractive there are fees, (all be it quite modest) payable to the SIPP Provider administering the SIPP and to the IFA.