Pension Insurance Corporation (PIC) has partnered with SEI to allow trustees to transfer defined contribution (DC) pension benefits and additional voluntary contributions (AVC) into the SEI Master Trust in bulk, as part of their buyout arrangements.

For those trustees of defined benefit (DB) schemes considering buyout, this partnership is important, PIC said, as it gives DB scheme members with DC pension arrangements and AVCs the opportunity to access the SEI Master Trust.

Typically, DB pension scheme members might exchange some of their guaranteed pension income to enable them to take a tax-free pension commencement lump sum and a lower guaranteed pension income.

Commenting on the partnership, PIC head of origination structuring, Matt Richards, said this new partnership between PIC and SEI would allow the trustees of DB schemes looking to enter into a buyout to offer their members improved outcomes.

Richards added that PIC was “very pleased” with the outcome and looked forward to continuing to work closely with SEI on this “exciting” partnership.

Adding to this, SEI managing director, DC and solutions, EMEA and Asia, Steve Charlton, said: “I’m delighted to launch our strategic partnership with PIC, as we work together to deliver stability to members and help build their confidence that their financial futures are secure.

“In joining forces, I believe we have an opportunity to further our commitment to the institutional market and shape member outcomes for the better.”

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