Interactive Investor to launch new Sipp

Interactive Investor is to launch a fresh Sipp by the end of September.

The direct broker says it wants to offer “an improvement of” its Sipp service to both II and TD Direct Investing customers following its acquisition of TDDI,  in June.

For the new Sipp, II partnered with Barnett Waddingham, which already provides pension administration to many blue-chip firms, including Pepsi, Zurich and Bosch.

The product will be available to TD customers later this month and II customers later this year.

Following the acquisition, former TDDI Sipp provider AJ Bell terminated its contract with the two firms, citing the deal with II as a factor behind the move.

II chief commercial officer Alex Kovach says: “That deal with AJ Bell is closing and we have another partner. The new Sipp will give us greater control with simple pricing. It will have great drawdown functionality and will be a very nice digital product.”

Charges for the service are not yet available.

II announced the takeover of TD Bank’s European direct investing business in October. The deal brought its total assets under administration to £21bn.

II’s newly appointed chief executive, Richard Wilson, says: “We are halfway through the integration process so we need to have one proposition and one price.

“We are doing this quite quickly. The underlying task is not that complicated compared to some other massive integrations.”