SSAPS offer the widest possibilities for investment using a pension.
The list of authorised investments for a SSAPS includes:
- Property: Buy-to-let investment property (both residential and commercial); development land; property syndicates;
- Private companies: Shares in private companies
- Listed instruments and mutual funds: equities, bonds, investment trusts, unit trusts, REITS, insurance company funds; offshore funds
- Cash and cash-like assets such as bank deposits
- Debt such as loan notes
- Complex instruments such as futures and options
As you’d expect, Revenue have imposed some limits on what a SSAPS can hold. The rule that affects investors most is that all investments must be at arm’s length. So you cannot move a property you already own into your SSAPS for example. Other exclusions include loans to you or your family, and ‘pride in possession’ assets such as paintings or jewellery.
The best approach in marginal cases is to get Revenue sign-off before making investments that could be affected by these rules.
