GERMANY- BAFin, the German Financial Supervisory Authority, has given HypoVereinsbank (HVB) authorisation to launch its subsidiary HVB Pensionsfonds that will act as an industry-wide pension provider across Germany.
In April this year HVB established an industry-wide German chemical workers pension fund, but this latest fund will offer services to companies in all industries.
Hans Melchiors, chairman of HVB Pensionsfonds, says: “we can now, as an individual entity, develop pension fund solutions, dealing with all companies and industries.”
It is too early on to estimate how many members the new fund will have, but Melchiors is positive saying, “many companies have already expressed an interest.”
Melchiors says the new fund has numerous advantages, the biggest of which is that companies will be offered an alternative to their current company pension, and will be able to profit from reduced costs due to a group rate.
HVB maintains transparency is also a key attribute of its new Pensionsfonds. Employees will be able to check their pensions account on the internet, receive up to date results reports, calculate final earnings and be able to see all incurred costs.
In terms of security, the pension funds are subject to insurance supervision and insolvency protection.