Master Trust Transition

Does your DC pension scheme offer value for money to its members? Or would their interests be better served by transferring into a Master Trust? That’s the question trustees of small DC schemes now have to answer each year. We are here to help.

A Master Trust is a multi-employer occupational pension scheme. The UK Government has recently issued legislation which means trustees of DC schemes with assets of less than £100m need to assess every year whether their scheme offers value for money.

Value for money is to be measured by the investment return and charges benchmarked against three larger pension schemes. Trustees must report back to members on the measures being taken to resolve concerns if a scheme does not offer value for money.

The aim is to encourage consolidation, and whether the best way to achieve that is to move to a Master Trust.

We have extensive experience of helping employers and trustees transfer their DC arrangements into a Master Trust. We provide full project management and brokering services, taking clients through the value for money assessment, the decision of whether to move to Master Trust, identifying which Master Trust provider is the best option and then on to completing all the necessary work to transition the assets over and wind-up the scheme.

We are able to help both trustees and/or the employer and have a range of packages to suit schemes and companies of all sizes that keeps costs low. Fixed fees for the work can be agreed and we provide an initial workshop, free of charge, to get the ball rolling.