Recognising the desire to provide members with good governance and investment support, and to do so in a cost effective way, we created the Xafinity Pension Trust (XPT).  

By participating in XPT, an employer can provide its employees with a bespoke trust based DC pension scheme at a cost usually associated with a contract type arrangement. A strong centralised compliance and governance framework is provided, that requires minimal time and effort from employers.  

XPT offers comprehensive investment support to members, incorporating a range of special investment strategies. These are designed to satisfy members’ differing attitudes to risk with the underlying asset allocation and fund management being regularly monitored and reviewed by the Professional Trustee.  

Communication with members is of the highest quality with on-line projection models, risk-based investment tools and decumulation (e.g. annuity purchase) support available to members. The website, booklets and other communications can be branded and tailored to help promote corporate identity.  

XPT is a cost effective solution for employers seeking to provide their employees with a means of building future DC benefits in a highly supportive trust environment.  

When considering a transition away from an employer’s own trust based DC scheme, XPT has a number of specific advantages over contract based arrangements, which include the member support, governance and communication aspects already discussed, as well as:

• ability to accept accumulated benefits into the same arrangement that will be used for future accrual;
• protection of pre A-day tax-free cash calculation bases;
• automatic payment of accumulated lump sum benefits tax free;
• ability to negate the impact of Market Value Adjustments on accrued with-profits investments, subject to certain conditions;
• less time consuming and cheaper transition phase for the employer and trustees.  

On a member’s request, XPT is also able to accept transfers-in from all contract and trust based arrangements, therefore acting as a highly supportive, yet cost effective home for all members’ pension benefits.