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What is a "GDCV"...?
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Genuinely Diverse Commercial Vehicle
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A type of vehicle that is able to purchase residential property with a SIPP
What is a "SIPP"...?
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Self Invested Personal Pension
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A SIPP has freedom of Investment
GDCV Criteria
A GDCV Must meet the following criteria:
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Portfolio of at least 3 properties or the portfolio must be worth at least £1m
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No one property more than 40%
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No prvate use of any of the properties
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No individual SIPP investor can own more than 10% of the investment/asset worth
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Gearing limited to 50% of fund's assets
The Model
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Arrange the information of a "white label" SIPP through Pension Trustees
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The "white label" SIPP will be the source of the Genuinely Diverse Commercial Vehicle
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Create the vehicle with the assistance of our legal team and provide all the necessary supporting documents and legal agreements
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We can source and properties or the advisors can use his/herown contacts to do this
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This method is useful for advisors who are looking to raise a minimum of £500,000 through their own client base
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GDCV Establishment
Stage 1
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WSG establish UK Limited Company
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Appoint Legal Team
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WSG in conjunction with legal team create Memorandum and Articles
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Appoint accounting team
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Set-up trustee bank accounts
Stage 2
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Pensioneer Trustee buys shares in UK Limited Company
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Share Certificate issued
Stage 3
WSG Oversee the acquisitions process:
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Legal
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Accounting
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Mortgages
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Valuer
GDCV Management
Stage 4
Ongoing management of property
- Rent Collection
- Maintenance
- Invoices
Stage 5
Ongoing management of vehicle
- Administration
- Accounting
- Report to Investors and Trustees
GDCV Financials
Set Up Fees
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£25,000
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Above fee includes all legal and accountancy fees
Annual Fees
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Management Fee 1.5% assets under management
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Directors Fee
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Accountancy
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Legal
Encashment of Fund
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100% profit Investors
SUMMARY
* Pensions CAN invest in Residential Property *
* Self Invested Personal Pensions (SIPPS) are to be used as the form of investment into the GDCV *
* GDCV is legislated method *
* Must get structure right - Tax free growth *
* Old Pensions & SERPS can now be transferred into a SIPP *
"A GDCV is the most Tax Efficient Investment Vehicle used with Pension monies.... What other fund allows you to buy a plane or even a yacht...?"