Platforum comment on Aegon’s acquisition of BlackRock’s defined contribution platform

The acquisition of Blackrock’s defined contribution platform would make Aegon the 4th largest by AUM in UK DC pensions with £30.2 billion in assets, as at 31st December 2015 according to Platforum
Blackrock’s ‘bundled’ DC business provides pensions for some 125 firms in the UK and targets medium to large employers with high average contribution levels
Aegon’s acquisition of BlackRock will broaden its reach from its current heartland of SME’s to larger firms supporting its strategy of targeting firms with ‘decent’ minimum contributions
BlackRock has invested in digital tools to drive engagement – myPath, a decumulation modeller comparing income choices and CoRI a lifetime retirement income modeller – Aegon’s also takes a digital first approach through its slick front- end Retiready
BlackRock launched a drawdown service in November 2015, allowing members to move ‘to and through’ retirement on the platform – a strategy that closely mirrors Aegon’s