DC master trusts best schemes for most employers – Buck

Defined contribution master trusts are the most suitable DC schemes for nearly 60 per cent of UK employers, research from Buck has suggested.

Its analysis found that 84 per cent of employers want their members to be supported and have access to online tools and education, which it says is best provided by DC master trusts.

Buck surveyed 17 master trusts and found that 94 per cent provided members with access to a pension calculator and 88 per cent provide retirement planning support, “showing that master trusts are generally meeting the demand for core online features”.

However, it noted, access to more detailed tools, including risk profilers and annual allowance calculators, are not as common.

Commenting on the findings, Buck head of DC and wealth, Mark Pemberthy, said: “Our research confirms that pensions continue to be an important part of any organisation’s reward offering, and employers want a positive experience for their employees.

“Pensions can be complex and difficult to understand, so engaging tools and effective communication can play an important role in helping people make informed decisions about their financial planning and reinforcing the value of the pension within the benefits package.”

The survey asked 50 employers a series of questions on a wide range of pension-related topics to help businesses understand what employers want from their pension.

The employers covered different sizes and sectors and have over 500,000 UK employees between them.

    Share Story:

Recent Stories


De-risking options for pension schemes
In this latest Pensions Age podcast, Linklaters' Sarah Parkin talks to Laura Blows about the wide range of choice available to pensions schemes for the partial, or full, removal of their risks

Risk transfer opportunities
Laura Blows speaks to Lisa Purdy, Head of Fiduciary Distribution at Legal & General Investment Management and Gavin Smith, Pricing and Execution Director - UK PRT at Legal & General, about the impact of the recent market volatility on the bulk annuity and risk transfer market and the potential opportunities for the future

Bulk annuities during coronavirus
Laura Blows speaks to Just business development manager Prash Mehta about the impact of coronavirus on transactions

Investing in infrastructure
Laura Blows speaks to James Dawes about how, and why, pension funds should be looking at infrastructure as an investment opportunity