The pensions industry is going through a seismic change, with more to come.
Today I presented at the Professional Pensions Defined Contribution conference and a lot of talk was around the great number of regulatory changes happening in the industry right now, all of which are designed to make sure that schemes are doing the right thing for members.
This aligns with what I’ve seen so far this year. At Smart Pension, we’ve seen a large increase in trustees and employers running smaller single employer trust (SET) pension schemes (particularly those with less than £100m under management) getting in touch with us. We think, and so do many others, that the majority of these pension schemes will make the move to alternative arrangements over the next few years. The market is consolidating and consolidating fast, driven by a desire to achieve better outcomes in retirement but also reduce cost and risk from increased regulation.
Here are my four steps to making sure that your pension scheme is delivering better outcomes in this changing industry.
In summary, watch this space. In a year’s time, the make up of pension schemes in the UK will look very different from today.
Launched in 2015, Smart Pension exceeds £4bn in assets under management (AUM) and now serves over one million members and more than 70,000 employers. It is powered by Keystone, Smart’s global savings and investments technology platform.
Aquiline Capital Partners, Barclays, Chrysalis Investments, DWS Group, Fidelity International Strategic Ventures, J.P. Morgan, Legal & General Investment Management, Link Group and Natixis Investment Managers are all investors in Smart Pension.