The Best SIPP For Non-UK Residents

The Best SIPP For Non-UK Residents

If you’re a British expat living abroad, you may be looking for a solution to manage your pension and grow your wealth. Retiring abroad with a UK pension has its limitations and can quickly get frustrating, whilst an International SIPP can be the best option in terms of flexibility and cost.

What is an International SIPP?

A Self-Invested Personal Pension (SIPP) is a UK based pension scheme which allows you to save, invest and grow your retirement funds. An International SIPP works the same way and is designed specifically for UK expats.

A SIPP offers more control over your investments compared to traditional pensions. The flexibility of both the investment and drawdown options make them ideal for anyone who wants to actively manage their pension portfolio.

The SIPP for Expats - The Wealth Genesis

Benefits for Expats

A Key advantage of choosing an international SIPP is that the scheme will remain in the UK, retaining the protection of UK regulators such as the Financial Conduct Authority (FCA), the Financial Services Compensation Scheme (FSCS) and The Pensions Regulator (TPR).

International SIPPs offer a wide range of investment options, from stocks and bonds to mutual funds and individual shares, giving you the flexibility to tailor your investments to your personal needs and financial goals. It also allows you to consolidate multiple UK pensions into one account, simplifying the management of your savings.

Currency flexibility is another significant benefit, as you can invest and withdraw in all major currencies, making it easy to manage your money no matter where you are in the world.

Additionally, not only is it tax-free to transfer your existing pensions to an International SIPP, but you’ll have more control over your drawdowns and pension income, allowing you to manage your income tax brackets effectively.

The Novia Global SIPP

With over a dozen International SIPP options on the market, there is undoubtedly one that stands out as the best choice for UK expats: the Novia Global SIPP.

Launched in 2020, this scheme is designed to be used alongside the Novia Global platform, providing investors with a personal Global Investment Account (GIA) and access to an extensive selection of over 7,000 funds. This SIPP is a great option for anyone who wants to grow their pension savings.

The Unbiased Novia Global SIPP Review 2024 - The Wealth Genesis

Novia Global SIPP Offerings

The variety of investment options offered by the Novia Global platform include exchange traded funds (ETFs), including index funds from established providers like Vanguard and iShares, offering a cost-effective way to diversify your portfolio. The platform also includes mutual funds from top providers such as Fundsmith and Scottish Mortgage Investment Trust, as well as single-strategy funds for more focused investment opportunities.

If you choose the Novia Global SIPP, you’ll have the option to work with Discretionary Fund Managers, such as LGT Wealth Management, who can manage and tailor your portfolio according to your financial goals and risk tolerance.

This SIPP also allows multi-currency investments, supporting all major currencies such as Hong Kong Dollars (HKD), Australian Dollars (AUD) and Swiss Francs (CHF). The most extensive fund ranges are typically in USD, GBP and Euro.

Fully Flexible Access for Expats

A standout feature of the Novia Global SIPP is the flexibility of its drawdown options, which allow you to tailor your pension withdrawals to your unique and specific needs. Since Brexit, this level of flexibility is no longer offered to non-UK residents by traditional UK providers such as Aviva, Aegon and Scottish Widows.

With Novia Global, you can schedule your withdrawals to be monthly, quarterly, bi-annually or occasionally, and they even offer an automated monthly drawdown feature.

Tax Benefits

This international SIPP also comes with significant tax advantages. Any profits made within the SIPP are tax-free if they remain within the pension. UK residents can also benefit from a 25% tax-free lump sum upon starting the pension, known as a Pension Commence Lump Sum (PCLS).

By using a Nil Rate Tax Code (NT code), you can make withdrawals without paying any tax in the UK. Additionally, if you should pass away before the age of 75, your entire pension can be passed to your beneficiaries free of UK Inheritance tax.

What Makes the Novia Global SIPP Different?

Low and transparent fees

This international SIPP has a straightforward fee structure, costing just £240 per year, plus 0.34% per year for the Novia Global investment platform fee, making this the most cost-effective International SIPP on the market.

Safety and Security

If you choose this SIPP, all your assets will be held in a trust and legally separated from the assets of Novia Global, providing an extra layer of protection.

As the scheme is based in the UK, it will be regulated and protected by the FCA and FSCS.

Exceptional Service

Novia Global has an easy-to-use online platform, flexible drawdown options, automated features and an emphasis on customer service. Along with the tailored support to meet the needs of expats, managing your SIPP is straightforward.

Our Verdict

We understand that selecting the right international SIPP is a big decision. When choosing a policy, it's essential to look for transparency, low costs, flexibility and exceptional service.

The Novia Global SIPP offers all these elements, and it stands out as the top choice for UK expats who want to manage, grow and protect their pensions.