QROPS pension investors are always hearing advice on what property they can’t consider as an investment – but here’s a look at the few off-the-wall investments that do make the grade.
Walking on the wild side means investors can put their money in to a zoo – the buildings, compounds and cages count but not the animals. An even wilder investment is going to the dogs – literally – with a greyhound stadium.
If you are a sporty type, show your support by pitching in for a football stadium, racecourse or cricket ground
Perhaps a room with a view is more to your taste. In that case, hotels are a great investment – whether they are in city centres for busy business travellers or providing treats for travellers in a far-flung tropical paradise.
For a more niche investment, Japanese love hotels attract lots of investment. The country has 25,000 of these discreet nests for secret liaisons attracting millions of visitors for stays lasting from a couple of hours to much longer.
QROPS investment on the menu for Jamie Oliver
Timeshares and hotels offering ‘investor perks’ like free accommodation are more tricky to consider for a QROPS as they breach HM Revenue and Customs investment rules and trigger tax penalties.
Another tasty investment from a QROPS comes from a fan of TV chef Jamie Oliver who has benefitted a £1.5 million portfolio bond held within the offshore pension scheme in favour of developing a restaurant in Singapore.
Onshore SiPP (self invested pension plan) providers are claiming that scrapping annuities from April 2011 lets pension investors look beyond the traditional commercial building and development options for their retirement savings.
The problem they face is explaining to an expat or overseas worker why they would want a SiPP when they could have a tax-efficient QROPS want to take a clunky UK SiPP that lacks the finesse and flexibility of its offshore cousin.