Cash tends not to be the best investment over the long term, but for some people, holding some cash can be worthwhile either at a specific time, to cover known expenditure or potential emergencies, or as part of a diversified portfolio. Many cash investments are available on an instant access basis, providing lots of liquidity.
In recent years we have seen an increase in popularity of cash management platforms, which aim to boost returns and/or spread risk for the customer, particularly maximising coverage of the £85,000 Financial Services Compensation Scheme (FSCS) limit, by spreading deposits across mutliple banking institutions (provided they are not covered by the same banking licence). You can read more about the FSCS here: https://www.fscs.org.uk/
A good cash management platform will offer a range of competitive rates (sometimes exclusive to them) and easy account set up and management. We allow most of these platforms via our pension products, and once the account has been established, customers and/or their advisers can operate the account online.
If you would like to know more about how a cash management platform could benefit you, please contact your financial adviser. Note that InvestAcc does not provide advice of any kind.
April 18th, 2024
The Minerva SIPP can invest in a wider range of assets including commercial property and land, on an individual or group basis. Any combination of permitted investments may be made within a Minerva SIPP including deposit accounts, DFM, open market platform/wrap accounts, stockbroker accounts and trustee investment plans, all held together within the same SIPP.
SIPP Lite is a lower cost option, for those that do not require multiple investment accounts, or access to commercial property and land at outset. SIPP Lite members are restricted to a maximum of one investment account, to run alongside the default SIPP bank account. This investment account could be another bank account or ONE of the following: stockbroker account, DFM, open market platform/wrap account or a trustee investment plan. For individuals that require additional investments at a later date, including commercial property and land, they can upgrade their SIPP Lite plan to a Minerva SIPP.
A Small Self-Administered Scheme (SSAS) is a type of UK registered pension scheme. Each SSAS is governed by its own trust deed and rules and is a separate legal entity to the sponsoring employer. The sponsoring employer establishes the SSAS and invites members to join. Any individual employed by the sponsoring employer (or a participating employer) may join the scheme and all members are appointed as trustees alongside the professional trustee. SSAS trustees have a very wide range of investment options, including the ability to make secured loans to the sponsoring employer of up to 50% of the net asset value of the scheme, subject to certain conditions.
We have been operating in these markets for over 20 years. The SSAS business was formed in 1997, and in 2003 we launched our flagship product, the Minerva SIPP. The range is completed by SIPP Lite, which has been available since July 2012.
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