Archives for October 2023

Leveraging MM’s historical data assets

In the world of pension scheme management, data accuracy and efficiency play a critical role. MM is a data owner of over 3 billion historical records, which along with government approved licenses is the foundation of all our proprietary solutions.

There are many options in the market who re-sell existing solutions, and while there can be benefits to this this MM uses new and innovative ways to trace members and spouses meaning a scheme has a better chance of tracing additional people when used instead or alongside other sources.

During recent tests MM. have proven to find between 10-15% additional member spouses which as described in MM’s previous blog: Marriage and Pensions: A Mis-Match Made in Data, can have a tangible impact on fund valuation and member communication.

The benefits of being a data owner are numerous:

  1. Data Ownership and Control: When a tracing provider owns their data, it gives the pension company more control and confidence in the accuracy and security of the data. They can have a better understanding of how the data is collected, maintained, and used.

  2. Different Coverage of the Population: Using new and untapped sources of data means that additional members or spouses can be traced. This is crucial for pension companies as they rely on complete data to make informed decisions about investments, payouts, and other financial matters.

  3. Data Security: Data security is a significant concern in the financial industry. A tracing provider that owns its data can implement stringent security measures to protect sensitive information. This helps the pension company maintain the trust of its clients and regulatory authorities.

  4. Flexibility and Customisation: With ownership of the data, the tracing provider can offer more flexibility and customisation options. They can adapt their solutions to the specific needs and requirements of the pension company, ensuring that the data and services align with the company’s goals.

  5. Compliance and Regulation: Pension companies are often subject to strict regulations and compliance requirements. Using a tracing provider who owns their data can make it easier to demonstrate compliance with data privacy and financial regulations.

  6. Reduced Risk of Data Dependency: Relying on third-party data providers may introduce the risk of data dependency, where the pension company is at the mercy of the provider’s data availability and pricing. Owning the data can reduce this risk.

  7. Long-term Reliability: Data is a critical asset for pension companies, and they need assurance that their tracing provider will be a reliable partner over the long term. A provider that owns their data may have a more stable and sustainable business model.

  8. Data Innovation: Tracing providers that own their data may have more freedom to innovate and develop new solutions, which can benefit pension companies in the long run.

  9. Cost Control: By owning the data, the tracing provider may have more control over the cost structure, potentially leading to more predictable and cost-effective pricing for the pension company.

MM. have invested in innovative ways to trace members which means a scheme has the best possible chance of tracing members. This article highlighted some of the reasons why MM. should be considered alongside existing member tracing services to ensure maximum coverage and therefor confidence in scheme data.