Pension reforms in Germany are prompting a rethink of consultancy models as established players face growing competition from neo-brokers, a new generation of digital-first, mobile-app-based financial brokers offering low-cost or commission-free trading to investors.
Claudio Thum, senior director of outsourcing at WTW, told IPE that occupational and private pension reforms “are noticeably changing” retirement consulting, as the topic gains greater political and social attention.
In particular, the introduction of the retirement savings account (Altersvorsorgedepot) – a cost-capped, ETF-based private pension product without guarantees and with flexible withdrawal options – is significantly increasing demand for information from savers, he added.
“Providers will therefore increasingly rely on digital portals, intelligent chatbots and AI-supported agents that provide information and guide savers through the decision-making processes,” Thum said.
Hybrid consulting
Wolfram Erling, senior manager at Union Investment Privatfonds, said the successes and failures of the retirement consulting industry in the next one to two years will shape pension provision in Germany for the next two to three decades.
Advice remains “necessary” to help individuals choose investment funds and understand the differences between products with or without guarantees, he said.
Erling pointed to neo-brokers, which in recent years have encouraged many savers in Germany to invest in securities, as “the greatest success story of the German financial industry”.
“Neo-brokers have managed to reach a huge number of customers via digital channels,” he said, citing Trade Republic.
The Berlin-based platform increased its client base from 4 million in 2024 to more than 10 million in 2025, and now manages €150bn in assets.
“I believe that pure digital consulting, implemented by Trade Republic, or Scalable, will work for certain people,” while “hybrid consulting”, combining analogue and digital, will account for “60-70%” of retirement contracts, Erling added.
Digital occupational pensions
Digital tools and artificial intelligence (AI) are also becoming a strategic building block for a new type of consultancy in occupational pension schemes.
“Companies consistently using these technologies can better engage their employees, and simultaneously meet the increasing demands of the market,” Thum said.
WTW is developing digital workflows and AI-powered agents to answer client queries on occupational pensions.
“These are complemented by chatbots that are available around the clock and process selected questions quickly and reliably. These systems are fed with verified expert information and relieve the burden on both HR departments and advisors,” he explained.
Sabine Payne, head of benefits Deutschland at Deutsche Bank, said the lender has relied on a “digital opt-out” system to automatically enrol former Postbank employees into the financial industry’s social partner model.
The digital opt-out campaign has led to a 75% participation rate in the defined contribution (DC) model.
Deutsche Bank is planning a campaign focused on pension gaps and the social partner model to encourage those who opted out to reconsider, Payne added.
Commerzbank is also implementing a communication strategy targeted at younger employees enrolling in its pension scheme.
The campaign aims to improve understanding of retirement provision early in employees’ careers and boost participation in company pension funds.
