UK-based online pension provider PensionBee is to expand into the $22.5tn Defined Contribution pension market in the US.
In brief:
- The UK pension provider has entered into an exclusive, non-binding term sheet with a large US-based global financial institution which will provide expertise and "substantial marketing funding" to help the firm break into the US arena.
- PensionBee will deliver the US service through PensionBee Inc, to be established in Delaware as a wholly-owned subsidiary of PensionBee Group plc, with operational headquarters in New York.
- At the end of 2023, PensionBee had £4.4bn of Assets Under Administration on behalf of approximately one quarter of a million invested customers.
What does this mean?
Romi Savova, CEO of PensionBee, comments: "In the year of our 10th anniversary, having demonstrated underlying profitability, we have entered discussions with a view to deploying our award-winning customer proposition, supported by our innovative technology platform and marketing approach, in the United States of America. This is a transformative step for PensionBee and for our stakeholders."
