Lifetime picks up UK pension business

NZX-owned Smart has agreed to sell the management rights to its $140 million SuperLife UK Pension transfer scheme to Lifetime Asset Management for an undisclosed sum.

Lifetime takes over at the end of October and plans to consolidate the fund managers it uses.

"Lifetime has extensive experience in managing UK pension transfers, and this change is expected to provide ongoing benefits to SuperLife UK Pension members. Members’ fees will not increase and the cost of the change will not be applied to members," SuperLife says.

"Smart has made a strategic decision to retire as the manager and transition the management of SuperLife UK Pension to Lifetime Asset Management, the manager of the specialist pension transfer Garrison Bridge Superannuation Scheme. This decision reflects Smart’s focus on streamlining its business and concentrating on its core offerings, while also fostering a valuable institutional relationship with Lifetime.

"The transition is expected to provide additional value to SuperLife UK Pension members by improving the tax efficiency of the scheme and providing additional fund currency options following the transfer of your SuperLife UK Pension membership and investment to Garrison Bridge. Members’ fees will not increase and the cost of the change will not be applied to members..

Currently most of the SuperLife UK Pension funds are invested in Smart funds. Under the new arrangement is is consolidation of managers. While Smart is retained as a manager Lifetime is also using Simplicity, Kernel Wealth, and cash accounts with BNZ and the Bank of China.

With the diversified funds Lifetime plans to adopt a multi-manager model. 

"Lifetime will use a combination of strategic asset allocations (based on long-term market views) plus an active tactical asset allocation overlay, which actively allocates funds between investment classes (based on shorter term market views). Lifetime has selected a range of underlying funds from third party managers in its investment suite. The asset allocation model and the funds selected by Lifetime will be managed under its investment governance and decision-making," SuperLife says.

"For members invested in the diversified funds, Lifetime has closely aligned the growth and income splits within its strategic asset allocations (within ± 5%) with SuperLife UK Pension’s current allocations."