Invesco to build own DC pension platform
UK – Scottish Life has lost its three-year old defined contribution outsourcing deal with Invesco, as the asset manager builds its own pensions administration capability.
Amvescap’s Invesco division said in a statement that it “has decided to bring administration for its DC business in-house”.
“This marks the end of Invesco's outsourcing arrangements with Scottish Life, who have provided administration services for Invesco over the last three years,” it added
It said it aims to build its own pensions administration capability in-house using the “administrator” platform of software firm Aquila.
Invesco Pensions chief executive David Butcher said: "We want to lead the market on customer service for DC plans. In order to do that we need to have absolute control over the client relationship and therefore service delivery.”
Mike Reid, chief executive of Scottish Life Administration Services, said: “Although we are sorry to lose Invesco as a client, we knew from the outset that Invesco would develop an in-house administration capability at some point.”
Invesco UK has 21.1 billion pounds (30.5 billion euros) in assets under management. It offers DC pension products geared towards large companies with 100 or more scheme members.