The Institutions for Occupational Retirement Provision directive or IORP II aims to provide adequate and sustainable pensions for European citizens. IORP II is the recent iteration of the European Union sweeping reform of pension fund legislation.
It came into effect on the 13 January 2019 adding 43 new articles to the original legislation, putting a renewed focus on governance and communication standards. The IORP II implementation bill passed in Sweden on 15 December 2019 allowing insurance companies and workplace pension savings institutions to be converted into occupational pensions companies as long as they meet certain requirements.
In 2020 we expect to see insurance companies making the move to becoming IORPs but also examining their cost base and how they implement investor decisions in the most cost-efficient manner.
If you’re looking at the impact of IORP II and would like to discuss your investment infrastructure, get in touch to see how we can help.