Sydney, 23 February 2006 – Bravura Solutions Limited (Bravura), a leading provider of pension, wealth management, life insurance and portfolio administration software for financial institutions, today announced that it has achieved software compliancy ahead of time for the new government initiated pension simplification rules due to come into effect in the UK during April this year.
The Self Invested Pension Plan (SIPP) was introduced by the UK government in 1989, and over the past five years, has run against market trends with excellent growth rates. The SIPPs unique combination of broad investment choice, transparent charging and flexible retirement benefits appeals to consumers looking for an efficient long term savings plan.
Steve Williams, UK Country Manager for Bravura Solutions outlines that these rules provide exciting new opportunities for individuals investing in SIPPs. However, with these changes, come challenges for existing SIPP administrators in respect to IT and product development.
“We are well prepared for this new legislation, having already built these requirements into Talisman, a leading edge solution for the administration of personal retirement savings, investment and risk products.”
Talisman already supports the UK pension plan and legislation tax rules, as well as
supporting a full range of tax wrappers including ISAs, PEPs, CTFs and Bonds on a single seamlessly integrated platform enabling the SIPP to sit within a wider portfolio set, such as that found on the wrap platform”, adds Wes Hall, Head of Product Strategy, Investments, for Bravura Solutions.
While historically, SIPPs have been more suited to individuals with pension funds in excess of £250,000 due to steep administration charges, the introduction of more sophisticated systems to automate administration processes has led to providers benefiting from economies of scale.
Therefore, we expect to see SIPPs being a viable long term savings vehicle for anyone from mid-earners up to high net worth individuals.