Nordea Life & Pension have signed with SimCorp to form the foundation of their front to back investment management.
The move comes as part of a transformation for Nordea Life and Pension (soon to be known as Velliv), who will now operate as a separate entity to a patent group, Nordea.
Consolidating the infrastructure and standardising workflows across Nordea Life and Pension’s front, middle, and back office are typical of the measures many pension funds and asset managers are currently taking.
Key reasons for this strategic approach include operational efficiencies through automation, reduced costs, such as those associated with alternative investments, and healthier returns.
The priority of reducing manual processes and operational costs is expected to become more dominant as many funds are investing up to 40 percent of portfolios in alternative investments.
Anders Stensbøl Christiansen, CIO at Nordea Life & Pension, commented: “Committing to SimCorp Dimension is a significant step towards our goal of delivering increased value to our clients, both now and in the future.”
“Having experienced the effectiveness of the system for a number of years as part of the Nordea Group, and seeing the continued dedication to research and development from SimCorp, we have no doubt this is the right solution for us.”
He added: “More so, the flexibility of the agreement gives us time to thoroughly assess our long-term deployment needs, whether that is on-premise or as a service. That flexibility is invaluable and integral to our strong partnership with SimCorp.”
Hans Otto Engkilde, managing director of SimCorp UK and Northern Europe, said: “It is a pleasure to be such an instrumental part of Nordea Life & Pension, soon to be Velliv.”
“Their endeavour to optimise value for customers closely mirrors the philosophy at SimCorp. We are confident that SimCorp Dimension’s scale, efficiency and multi-asset class capabilities will deliver the means to fulfil that goal.”
“Our partnership with Nordea Life and Pension has been successful for many years, and we look forward to continuing our journey together, as the firm re-establishes itself under a new brand.”
