Fidelity to launch DB scheme administration service - UPDATED

The investment firm said the service would be open to firms looking to either open a defined contribution scheme or transfer an existing scheme to the company.

And it said it had already gained its first DB client.

The DB administration service – which is being provided in conjunction with third-paty administrator rpmi – includes record keeping, statement provision, pensioner payroll and regulatory reporting.

It also offers companies and members access to DB and DC benefit statements plus other pension details online.

Fidelity executive director of defined contribution business Colin Williams said: "This is a major new offering for our clients. With in increasing number of defined benefit scheme closures, our new administration service aims to help companies address the cost and administrative issues associated with legacy pensions, in a manner consistent with the administration of their DC scheme.

"Our fully bundled solution enables companies to outsource to an experienced provider, control costs and work with one relationship director across both pension schemes."

Fidelity executive director of defined contribution business development Julian Webb added: "Demand for the new service is strong because companies increasing want a ‘future state’ DC plan – with tailored investment options, auto solutions, strong administration and member communications – and administration of an often complex legacy of DB scheme from a single provider."