TPT Retirement Solutions’ Superfund Trustee Board has appointed four external organisations as advisers for its new run-on defined benefit (DB) superfund.

The board has appointed Gowling WLG to provide legal advice, LCP to provide independent investment oversight, Mercer as scheme actuary, and EY as the superfund’s risk adviser.

TPT said these four firms will play an important role in the development and ongoing management of the company’s superfund solution, as well as in supporting the regulatory assessment process.

TPT's superfund proposition, designed to run-on, intends to help broaden the range of endgame solutions available to employers and trustees. 

With many schemes experiencing improved funding levels over recent years, TPT said that the superfund proposition represents a viable route for those schemes that still fall short of full funding on a buyout basis. Currently, four in five UK DB schemes are in surplus with an aggregate funding level of 120 per cent on a technical provisions basis.

Commenting on the appointments, TPT Superfund Trustee Board chair of trustees, Nadeem Ladha, said: “I am pleased the board is partnering with four market-leading service providers to support the trustees in ensuring the superfund offers a market-leading product for members, and ceding employers and trustees alike. This will ensure we are able to both collaborate with and challenge TPT appropriately.”

Gowling WLG partner, Jason Coates, said this is a “significant development” in the UK pensions landscape and the superfund model provides a “compelling” alternative for sponsors and trustees who want to secure member benefits and ensure robust governance, whilst also preserving the possibility of upside for members.

TPT’s planned run-on superfund follows an announcement in May of its intention to develop a multi-employer collective defined contribution (CDC) proposition, as well as the recent launch of its defined contribution (DC) income-for-life proposition.

This announcement of external organisations as advisers also follows its November announcement of the appointment of an independent trustee board for the superfund.

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