Norli Pension, the Danish firm specialising in traditional guaranteed pension schemes, announced it has won a contract to take over the entire portfolio of a Norwegian pension scheme, as it eyes more expansion in the neighbouring Nordic market.

The Copenhagen-based pensions firm did not disclose the name of the pension scheme, but said it would take over the management of 550 of its individual policies with total pension assets of around NOK600m (€56.5m) – subject to approval from the Norwegian and Danish financial supervisory authorities.

Mads Jakobsen, chair of Norli Pension’s board of directors, said: “We see this as a strategically important step in our ambitions for growth in the Norwegian market.”

The firm, which is owned by Nordic Insurance Consolidation Group, specialises in the acquisition and management of traditional, guaranteed average-rate pension schemes in run-off. Its business began with the takeover of a pension portfolio from Skandia in 2015.

Last year the Norli Pension’s then chief executive officer Mads Smith Hansen told IPE the case for pooling traditional pension liabilities at firms such as his own was improving, as it was now more complex for pension funds to manage average-rate pensions than the market-rate products they were increasing offering.

At the time, he said he believed Norli Pension was the only operator in Denmark actively pursuing this strategy, with the entry barrier to the business being quite high.

To read the digital edition of IPE’s latest magazine click here.