Home ListingJune 12, 2013

Further Evidence of a Dutch DC Push

<em>Pension giant APG launches defined contribution administration platform. </em>

Reported by Featured Author

(June 12, 2013) — APG, which manages Europe’s largest defined benefit pension fund’s assets, has launched a new defined contribution (DC) administration service, Inadmin.

Inadmin is being offered as a white-labelled product and is targeted at premium pension institutions (PPIs), company pension funds and insurance companies.

Working together with KAS bank as the securities custodian, Inadmin claims to be able to save costs by combining the purchases and sales of all participants together, and sending them to the stock exchange as one order, as far as possible.

In addition, the services can be purchased on a modular or phased basis.

APG’s first client is its own PPI, Pensional, formed by APG and ABN Amro at the start of last year.

The development of a white-labelled administration platform is further proof that the Netherlands is heading towards DC environment.

Folkert Pama, chairman of the executive board for BeFrank, a DC administration platform with 15,000 members, told aiCIO that many of the Netherlands’ pension giants were creating DC platforms in anticipation of a shift.

Aegon published a whitepaper last week predicting that new requirements for Dutch pension funds to re-write their contracts by the end of the year will result in a surge to DC.