By: 14 March 2024

Customers in the US will be able to consolidate and roll over their 401(k) plans into a new Individual Retirement Account (IRA) with the fintech

UK’s PensionBee breaks into US market

UK-based PensionBee has announced that it will expand into the US with a “large, US-based global financial institution”.  

Under the exclusive, non-binding term sheet, the digital pension provider will deliver its US service through PensionBee Inc, which will be established in Delaware as a subsidiary of the PensionBee Group, with operational headquarters in New York. 

Customers in the US will be able to consolidate and roll over their 401(k) plans into a new Individual Retirement Account (IRA) with the fintech.  

Romi Savova, chief executive officer of PensionBee, said: “This is a transformative step for PensionBee and for our stakeholders.  

“By entering the world’s largest defined contribution pension market, where many consumers still struggle to prepare adequately for retirement amidst an array of confusing and difficult to use investment options, our straightforward approach to online retirement savings will help millions of consumers look forward to a happy retirement.” 

The unnamed US-based partner will provide its expertise and marketing funding. 

The expansion offers huge potential for the fintech to grow. The US has the world’s largest defined contribution market, representing 80% of the global total and $22.5trn in assets.  

Founded in 2014, PensionBee had £4.4bn of assets under administration on behalf of around 250,000 invested customers at the end of 2023.  

At the UK FinTech Awards 2022, PensionBee picked up Pensions Tech of the Year as well as the prestigious FinTech of the Year for “putting people and the planet at the heart of its offering”. 

The fintech also won the Diversity & Inclusion Award for the “breadth and range” of its work in this area. 

Image: PensionBee  

Josh Poyser
Josh Poyser is an editor at FinTech Intel. He has written about fintech for several years and appeared at FinTech Connect 2023 on the 'Unlocking Success: The Art of Fintech PR' panel.