The DC Master Trust Market: A Year In Review
It’s been an eventful year in the DC Master Trust market. The commercial master trusts saw an increase in assets under management of over 15% during 2022 (almost £20bn). Master Trust to Master Trust consolidation has continued (the latest acquisitions announced on 14th and 17th July: SEI Announces Acquisition of National Pensions Trust and Strategic Partnership with XPS | SEI (seic.com) and Smart Pension acquires Evolve Pensions. And there are some stand out innovators in the market, using technology to provide easy and affordable access to financial advice and guidance to members.
The results of our 2023 survey are now available in our 2023 DC Master Trust Report. Read or download the full report below.
DC Master Trust Report highlights
Once again the report explores themes relating to VfM, barriers to consolidation and proposition development. For 2023 we added some new questions to the survey to explore the different approaches master trusts are taking to the bulk transfer of assets.
Some highlights:
- 94% of master trusts will support schemes with assets below £100m
- 81% of master trusts offer pre-funding at 100% for asset transfers
- 63% of master trusts will meet the buy / sell transaction costs of asset transfers with no commercial impact to members
- One-third of the DC Master Trust market are proving to be true innovators
For sponsors or trustees considering the move to master trust, the report provides some interesting insights for you to consider.
If you are interested in discussing our findings in more detail, contact Tina Oversby on 020 8213 5860.
Watch this space
You can view our latest DC Master Trust league table here. We will be releasing the 2023 H2 league table in August, so watch out for updates.
Information contained in this article is based on Go Pensions research of the DC Master Trust market and is correct at the time of publication. Content from this article and report may not be copied or replicated without prior consent. Please credit Go Pensions if sharing or referencing this league table.