Isio has launched a new service for mid-sized DB schemes aimed at facilitating a quicker buyout.
This fully-bundled service aims to address some of the operational bottlenecks currently in the system, with insurers increasingly selective about which schemes they want to deal with.
Isio says that despite being well-funded, thousands of mid-sized schemes struggle to complete endgame transactions due to administrative delays, poor data quality and limited broking support.
It says its new service, known as PenUltimate, will directly address these challenges by bringing together administration, actuarial, investment, data and broking expertise into a co-ordinated package.
Isio says this removes the friction that often arises when multiple providers are involved.
Importantly, it enables schemes to change administrator close to buy-in with an endgame-focussed transition. This combines data cleansing, preparation of an insurance-ready benefit specification and prioritisation of GMP equalisation and any other data rectification projects.
Each project will be managed using Ensure, Isio’s digital trustee engagement platform, giving trustees clarity and oversight of the end-to-end process.
The PenUltimate service is primarily aimed at schemes up to £250m but also offers a specialist pathway, PenUltimate Micro, for well-funded schemes with fewer than 100 members, that delivers end-to-end buy-in to buy-out to wind-up, within a two-year timeframe for an all-inclusive fixed fee.
Isio head of trustee services Andrew Goddard says: “PenUltimate gives small to medium sized schemes a clear route through the final stage of their journey to buyout and wind-up. It tackles the practical barriers that too often hold them back – from slow administration to fragmented advice and inconsistent data.”
“The name reflects its purpose: it’s the second-to-last move that matters – the step that clears the path to the final transition.”
Isio partner, insurance and settlement Nick Johnson adds: “It’s an exciting time for schemes, with increasing funding levels, competitive insurance pricing and new and emerging alternative solutions. This creates opportunities but also shifts the problem from finding the right solution, to finding the best adviser to deliver it.”
“For too long, smaller schemes have been told to wait their turn while larger deals take priority. The reality is that many are financially ready, but face delays caused by outdated processes or a lack of joined-up support.
“PenUltimate changes that dynamic by prioritising GMP equalisation and other data projects for schemes at the point of administration transition, getting them data ready ahead of their final move to insurance.”
PenUltimate builds on Isio’s suite of DB end-game solutions. This includes Enplan, its operational consolidation platform for smaller schemes, and The Pensions Master Plan, which delivers scale efficiencies while retaining existing trustees.
It also complements Isio’s DB endgame analysis service, helping schemes assess the best route to buyout or run-on.
Isio has already deployed the PenUltimate model across several smaller schemes, achieving fast insurer engagement and smooth transaction execution.
