Three schemes with 350,000 members will consolidate into the TPT Retirement Solutions DB Complete master trust.
TPT confirmed that the transition process is now underway. The schemes cover members working in three different sectors of the economy – retail, transport, and technology. The schemes have combined assets under management of £220m.
Consolidating into TPT’s DB Complete means these schemes will receive its full DB Master Trust service including fiduciary management, actuarial, covenant, administration, accounting, and trustee responsibilities.
Schemes benefits from the oversight of a professional trustee board which has access to sophisticated risk management that might otherwise be unavailable to smaller schemes. Schemes also typically see significantly reduced running costs due to efficiency in service
TPT Retirement Solutions, chief executive David Lane says: “Demand for consolidation is increasing as sponsors and trustees look for efficiencies through scale and seek access to best-in-class pension scheme investment management capability.”
Nicholas Clapp, commercial director at TPT adds: “While TPT has been managing pension schemes for more than 75 years, we’ve seen substantial growth in demand for consolidation in recent months. Our DB Complete proposition offers a holistic approach to scheme management that removes cost and complexity. Joining our master trust can be an effective stepping stone towards a scheme’s ultimate endgame such as a buyout.
“If a scheme prefers to run on, then placing an employer’s DB and DC schemes in the same trust provides a tax-efficient way for any DB funding surplus to be used to cover the employer’s DC contributions.”
