In a landmark deal for the Wellington-based investment platform firm, Adminis has signed on Aon as a unit-pricing client.
Martin Kay, Adminis chief, said the contract would see the business almost doubling its funds under administration to well over $1 billion and tripling the number of managed funds under its ageis.
Under the arrangement, Adminis will provide daily unit-pricing services to the Aon KiwiSaver and master trust products, which manage about $370 million and $125 million respectively.
Kay said the Aon deal marked a step-up from weekly to daily-pricing for Adminis.
“The market has been asking for daily pricing so this is a big tick for our capabilities,” he said.
Last year Aon sold its NZ superannuation and KiwiSaver registry business to Australian firm Link Market Services, which is currently transitioning the rump admin clients across.
However, with unit-pricing not part of the Link offer, Adminis has filled the gap for Aon, which previously carried out the function in-house.
Matan Gan-El, Adminis chief revenue officer, said the platform integrates seamlessly with Link making the Aon transfer relatively simple to execute.
“We offer a single integrated solution,” Gan-El said. “We can easily work with third-party systems.”
Meanwhile, Kay said since launching its custody arm last month Adminis has been “inundated” with queries from potential clients.
“We are seeing a strong flow of interest especially with the requirements for schemes to have an independent custodian,” he said.
Kay said a number of qualifying registered overseas pension schemes (QROPS) providers and small advisory firms were also interested in the newly-launched Adminis custody service.
The firm hired David Campbell, former Public Trust head of custodial services, to lead its custody unit earlier this year.
“Providing custody allows us to offer full end-to-end services to small to medium customers, which is completely integrated through our platform,” Kay said. “This will enable us to drive further gains in efficiency and accuracy for our customers and their investors.”
Adminis would complete the transfer of the Aon unit-pricing business by the end of the year, he said.
The investment administration business, which emerged out of a financial advisory firm associated some of the original TradeMe shareholders, opened its doors to the wider market in 2013.