Becoming a Knowledgeable Investor

If you are choosing to make your own investment decisions within your SIPP (Self-Invested Personal Pension), you will be asked to complete our Knowledgeable Investor form.

This form helps us understand your experience, financial position, and awareness of the risks involved, particularly where investments are higher risk, non-standard, or complex.

This guide explains what you will need to provide and what happens next.

Why the Form Is Required

A SIPP allows you to take control of your pension investments. However, some types of investments carry greater risk, lower liquidity, and reduced regulatory protection.

Before proceeding, we must assess whether you:

• Understand how the pension and the proposed investment(s) work
• Appreciate the risks involved
• Are making your own decisions without regulated advice
• Have the necessary experience or financial standing

This is part of our regulatory responsibility.

Part One – SIPP Declaration

This section confirms your understanding of:

Your Pension

• A SIPP is a tax-efficient retirement product designed for long-term planning.
• It must not be used for tax avoidance.
• Alltrust does not provide investment advice.
• Alltrust does not have trading permissions.

You will need to confirm:

• When you last received regulated financial advice (if applicable)
• Why you are now making your own investment decisions
• How long you have been investing independently
• What you are investing in (including details of underlying assets and any associated parties)

Investment Understanding

You must demonstrate that you understand:

• How the investment works
• The charges associated with it (including annual and exit fees)
• The level of risk involved
• That capital is at risk and losses may be significant
• That past performance is not a guide to future returns

You must also confirm awareness that certain investments may:

• Be difficult to sell (illiquid)
• Delay retirement benefit payments
• Restrict transfers to another pension provider
• Affect payments to beneficiaries on death

Please answer all questions clearly and in full. Incomplete answers may delay assessment.

Part Two – Knowledgeable Investor Certificate

You will need to complete either Section 1 (Experience) or Section 2 (High Net Worth), depending on your circumstances.

Section 1 – Experience With Similar Investments

This applies if you have previously invested in higher-risk or non-standard assets such as:

• Unlisted shares
• Structured products
• Derivatives or CFDs
• Loan notes or debt instruments
• Offshore or unregulated collective investments
• Certain property-related investments

You will be asked to provide:

• Examples of similar investments you have transacted in
• When you last dealt with them
• The scale and frequency of your trading
• Relevant professional or business experience (if applicable)

This section helps demonstrate your familiarity with complex investment structures and associated risks.

Section 2 – High Net Worth Investor Statement

You may qualify as a High Net Worth Investor if you meet at least one of the following:

• Annual income of £100,000 or more (excluding most pension withdrawals), or
• Net assets of £250,000 or more (excluding your primary residence and certain other exclusions)

You must confirm your financial position and acknowledge that:

• You are able to withstand significant financial loss
• You understand the potential consequences of investment decisions

Part Three – Elective Professional Client (If Applicable)

This section is optional and only relevant if you wish to be treated as an Elective Professional Client (EPC) rather than a retail client.

This status significantly reduces regulatory protections, including:

• Limited access to the Financial Ombudsman Service
• Reduced FSCS protection
• Fewer disclosure requirements

To qualify, you must meet at least two of the following:

1. Significant trading activity
2. A financial instrument portfolio of €500,000 or more
3. Relevant financial sector experience

If you are unsure whether this applies to you, please consider seeking regulated advice before proceeding.

Important: Submitting the Form

The form must be:

• Fully completed
• Signed and dated
• Supported with any requested evidence

Please email the completed form and supporting documentation to sipp@alltrust.co.uk. Incomplete forms cannot be assessed.

What Happens Next?

Once received:

1. Review – Alltrust will review your form and assess your responses.
2. Further Information (if required) – We may contact you to request clarification or additional supporting documentation.
3. Decision – Once the assessment is complete, we will notify you of our decision.

Please note that submission of the form does not guarantee acceptance. Each case is assessed based on the information provided.

Need Further Assistance?

If you are uncertain about any aspect of the form or the investment you are considering, you may wish to seek advice from a regulated financial adviser before proceeding.

Our role is to assess and administer your SIPP, not to provide investment advice.