Fintech start-up Byhiras chosen for UK pension solution
London-based fintech start-up, Byhiras, was chosen by the Scheme Advisory Board (SAB) for the UK Local Government Pension Scheme (LGPS) to develop a platform which will enable asset managers to comply with its cost transparency code.
The platform will be implemented throughout all UK LGPS pension funds and pools by Q1 2020. The solution is designed to validate and store data about fees and expenses which asset managers disclose to pension funds, as well as facilitating reporting and data comparison between managers.
The LGPS Code of Transparency, launched in 2017, has been signed up by more than 100 asset managers, who are asked to comply with the code if they hold mandates from LGPS funds.
“The rolling out of the SAB system represents a breakthrough for greater cost transparency in investments,” says Byhiras’ CEO and founder, Sam Lusty. “For the first time, the LGPS funds and pools will have access to detailed information on costs and performance from different investment managers through a single service, helping them to deliver cost savings and improve investment outcomes.”
Byhiras’ offering was chosen in large part for its “high level of assurance on security necessary to protect the identity and data of users”, according to SAB.
The cost of the contract, which will last for at least five years, is being met from within the SAB levy, making the service free for all UK LGPS pension funds.