Xafinity Paymaster has signed an agreement with business and systems solutions company, Altus and virtual banking technology provider, CashFac to extend the benefits of straight-through processing (STP) for the defined contribution (DC) pensions market.

The partnership is designed to link DC fund unit reconciliation and cash management, which will streamline processes that have traditionally been disconnected.

When a buy or sell transaction is triggered, as well as informing the fund manager in real-time, cash reconciliation will be automatically matched to the fund transaction. The system mitigates risk but also significantly reduces time out of market on reinvestment, transfers or member payments on DC schemes.

Matt Pittman, director of operations for third party administration at Xafinity Paymaster, said: “With the impact of volatile equity markets on pension values making headline news we have seen a rise in the number of member queries and demands from the trustees requiring real-time information. In using the innovative Altus and CashFac technologies and tailoring processes to suit the pensions environment, Xafinity is taking the market forward in using STP technologies to enhance the standards of customer care in our industry.”

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