Belgian insurer KBC has announced it is launching a multi-employer pension fund, aimed at smaller companies that want to outsource their pension obligations.
The new fund – KBC Pension Fund Service – would be run in co-operation with Belgian firm Employee Benefit Consulting Services (EBCS), it said.
It said that for its new service it would draw on the ample knowledge and experience it had accrued while running its own company pension fund – established in 1942, and one of the largest in Belgium – as well as experience advising its own staff.
EBCS’s contribution would focus on information communication technology, actuarial, accounting and payrolling services to pension funds.
KBC emphasised that companies placing their pension fund with KBC Pension Fund Service could keep on playing an active role in the fund and the strategic choices that had to be made.
KBC and EBCS would carry out all administration, governance and legal obligations, with KBC Asset Management managing company schemes’ assets, it added. The multi-employer pension fund is to be launched as of 1 January 2020.
KBC Insurance has been active on the market for second pillar pensions for decades, offering both collective and individual pension insurance as well as pension insurance for self-employed workers.
Hans Verstraete, senior general manager of KBC Insurance and chairman of the KBC Pension Fund Service board of directors, said the multi-employer pension fund completed its range of supplementary pension schemes, and that there had been an “enthusiastic response” from a number of companies.
EBCS said it delivered services to more than 25 pension funds in Belgium.
KBC was unable to respond to questions from IPE by the time of publication.