Integrated solution fosters growth and adoption for low-cost pension provider
National Employment Savings Trust (NEST)
NEST is a pension provider set up by the UK government to make sure that all businesses have access to a high-quality workplace pension program for their employees. It’s currently the largest workplace pension provider in the UK, with more than 6.8 million members and £3.2 billion of assets under management. Read the highlights below or download the full case study.
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It’s early days but having all the different functions integrated into one solution is important for the way we operate and what our investment team can achieve without fiddling around with different systems. One key advantage is that the fund managers we work with can now directly share their holdings with us in real time.
Jiwei Dong, Head of Market Risk and Asset Allocation, NEST
Situation
NEST’s assets under management will grow rapidly in the next few years as minimum contributions under the auto-enrollment legislation rise. In preparation for this future scale, NEST has been reviewing its systems to ensure that it can optimize efficiency and reduce costs.
Assets under management rising rapidly
Needed to optimize workflow efficiency
Cost savings were also required
Problem
In five years, NEST has gone from naught to more than £3 billion under management, but its workflow needed optimization to handle such volume.Â
The pension firm was using one application for risk management, another for data collection and analysis and another for monitoring portfolios.
Managing multiple technology systems and information sources was becoming increasingly costly
Sharing data was time-consuming and complex, with very little real-time information
Solution
Bloomberg’s client relationship team worked with NEST to implement the Portfolio and Risk Analytics (PORT) solution and educate the NEST investment team on how to get the most out of the product.
By implementing PORT, a solution that is included in the Bloomberg Terminal at no extra cost, NEST is confident it will be able to meet its objective of growing its offering while accessing better investment solutions.
PORT enables greater transparency and insight into the historical, present and future risk/return profile of the portfolios it has under management
PORT has primed NEST to benefit from a simplified workflow, with greater access to critical data, analytics and cost-efficiency
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The Bloomberg Terminal provides good asset-class coverage, market intelligence, company news and analytical tools — and with the integration of PORT, you can actually see how the news is impacting your portfolio in real time.
Jiwei Dong, Head of Market Risk and Asset Allocation,
NEST
Benefits
Make quicker, better-informed decisions
Easily and accurately measure portfolio risk and return
Streamline the overall investment management workflow