7IM said its self-invested personal pension (SIPP) has surpassed £7 billion in assets under administration, amid growing demand for flexible retirement solutions.
The Financial Conduct Authority estimates that around 5.3 million people in the UK now hold a SIPP, reflecting the growing popularity of these products as responsibility for retirement saving shifts from employers to individuals.
7IM’s own data also reflects a resurgence in annuities. Data from the Association of British Insurers shows that pension annuity sales increased by 24% last year, hitting a 10-year peak, while 7IM has seen a 165% jump in clients using its Secure Lifetime Income solution over the past year. SLI provides a guaranteed monthly income for life that is paid into the 7IM SIPP and can be taken as tax efficient income immediately or reinvested for a later date.
The 7IM SIPP supports a wide range of retirement strategies, including UFPLS, tailored drip-feed drawdown and full or partial tax-free cash. These can be combined with the firm’s Retirement Investment Strategy and access to more than 10,000 investment options, as well as the SLI solution.
7IM said consolidating pensions into its SIPP has also been enhanced following the recent launch of automated transfers.
Liz Paradine, chief operations officer at 7IM, said: “Reaching the £7 billion mark is a major milestone for the business and reflects the trust advisers and clients continue to place in us.
“With our SIPP we have created a proposition that gives advisers the flexibility they need to plan clients’ unique retirement journeys. It’s been designed to make savings work hard through the accumulation phase, while offering genuine choice and control when clients begin to draw on their pension in retirement.”
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