The Pensions Regulator has authorised the master trusts run by Standard Life, Fidelity and The Pensions Trust (also known as TPT Retirement Solutions).
Standard Life has two master trusts — the DC Master Trust Scheme and the Stanplan A scheme — both of which have received authorisation. These two trusts have almost 250,000 members.
A total of 10 master trusts have now been granted authorisation from TPR, with up to 30 applications still pending.
Other authorised trusts include two master trusts from LGIM, the LifeSight Trust (offered through Willis Towers Watson), The Crystal Trust and the BlueSky Pension Scheme.
Standard Life’s head of customer and workplace proposition Neil Hugh says Standard Life has a 45-year track record of helping members and clients manage their pensions savings.
He adds: “Master trusts are already a popular auto enrolment vehicle and we’re seeing a significant increase in membership. A master trust is a proven solution for both employers and their employees, it takes away some of the regulatory burden, allowing employers more time to focus on helping their employees plan their financial future.”
Standard Life’s DC master trust targets larger employers and now provides the pensions to 47 employers. According to the laters information in the Corporate Adviser Master Trust and GPP defaults report, its default fund takes a more cautious approach than many of its peers — with equity exposure of just 46 per cent during the growth phase.
Fidelity is another master trust provider targeting larger employers. It’s trust has £1400m assets under management and 40,000 active members.
TPT Retirement Solutions was initially launched as the Social Workers Pension Fund, back in the 1940s. Today it has 130,000 active members and holds over £1,275m in its default fund.