The Dutch pension system, long recognised for its robustness, is undergoing its most significant overhaul in decades with the implementation of the Wet toekomst pensioenen (Wtp). This reform, primarily shifting from collective Defined Benefit (DB) to individualised Defined Contribution (DC) schemes, is creating an unprecedented surge in the volume and complexity of data exchanged between pension administrators and asset managers. In response, the Dutch pension industry, spearheaded by the Pension Federation, has proactively introduced the SIVI All Finance Standard (SIVI AFS). This standard provides a uniform set of data definitions and structures for reporting on investments and performance, specifically at an aggregated cohort level, thereby excluding sensitive personal data.
Early adopters like APG, a major Dutch pension administrator, report significant benefits, including easier data integration and reduced manual reconciliation. SIVI’s governance, with ownership by the Pension Federation and maintenance by the SIVI organisation, ensures industry alignment and a demand-driven evolution of the standard. Beyond its immediate utility in the Netherlands, SIVI’s pragmatic design, clear data scoping, and collaborative governance model offer valuable lessons for other European nations grappling with similar pension reforms and the broader challenge of financial data harmonisation.
As European Union initiatives like the Financial Data Access (FIDA) framework and EIOPA’s efforts towards regulatory harmonisation gain traction, the SIVI standard emerges not only as a solution to national needs but also as a potential blueprint for fostering a more efficient, transparent, and resilient European pension data ecosystem. This report delves into the intricacies of the Wtp, the structure and benefits of SIVI, its governance, and its potential implications for the wider European landscape, positioning data standardisation as a critical enabler for the future of pension administration.
The Netherlands has consistently been lauded for operating one of the world’s premier pension systems, characterised by its strong emphasis on collective risk-sharing and substantial capital-funded assets. For many years, this system has provided a high degree of retirement income security. The Dutch occupational pension fund system is the largest in the European Union, with assets under management exceeding €1.5 trillion, and total pension assets surpassing 200% of the nation’s GDP. This significant scale means that any reforms undertaken in the Netherlands not only have profound domestic implications but are also closely watched by other European nations facing similar demographic and economic pressures. The very strength and size of this system make the current wave of reforms particularly noteworthy.
After nearly fifteen years of debate, the Wet toekomst pensioenen (Wtp), or Future of Pensions Act, received final approval and entered into force on July 1, 2023. This legislation marks the most extensive reform of the Dutch pension system to date, ushering in a transition period for social partners, employers, and pension providers that extends until January 1, 2028. The Wtp is designed to create a pension system that is more sustainable, personal, and transparent.
At its core, the Wtp mandates several fundamental changes:
These reforms are not merely financial or structural; they represent a fundamental re-architecting of the pension information flow. The move from collective DB schemes, where calculations could be performed at an aggregate level, to individualised DC pots directly causes the need for more granular, frequent, and complex data exchanges. Each individual pot’s value will fluctuate with contributions and investment returns, requiring a level of tracking and reporting far exceeding previous norms.
The transition to DC schemes and individual pension accounts, as mandated by the Wtp, is set to dramatically intensify the data exchange between pension administrators, who are responsible for managing these individual accounts, and asset managers, who oversee the investment of pension capital. The new system requires a much closer and more dynamic alignment between the fund assets managed by fiduciary managers and the collective administration of these newly individualised pension accounts.
Several aspects of the Wtp directly contribute to this surge:
The Wtp, while aiming for a more sustainable and personal pension system, inadvertently creates a massive data management challenge. This underscores a broader theme often observed in financial services reform: regulatory changes, however well-intentioned, frequently carry significant, and sometimes underestimated, data infrastructure implications. Without a harmonising standard to manage this data deluge, the Dutch pension system would face the risk of operational inefficiencies, increased error rates, and escalating costs in its efforts to implement the Wtp. The following table outlines key Wtp provisions and their direct impact on data exchange needs:
Table 1: Key Wtp Reform Drivers for Increased Data Exchange
Wtp Provision | Implication for Data Exchange |
Shift from Defined Benefit to Defined Contribution | Need for individualised (or cohort-based) investment return tracking and reporting; data on contributions directly linked to individual accumulation. |
Individual Pension Pots | Granular data required for each participant’s pot, including contributions, investment allocations, and performance. |
Age-Independent (Flat-Rate) Premiums | Standardised data on contribution amounts per participant, facilitating consistent processing across different age groups under the new rules. |
Multiple Investment Profile Choices | Data to support participant choice architecture, track allocations to different profiles, and report performance specific to each chosen investment strategy. |
Increased Transparency & Governance Mandates | Requirement for detailed, auditable data trails for all transactions, allocations, and communications related to pension pots. |
This escalating complexity and volume of data exchange, driven by the Wtp’s core tenets, set the stage for the emergence of a new standard designed to bring order and efficiency to this evolving landscape.
Recognising the profound data management challenges posed by the Wtp’s intensified data flow requirements, the Dutch pension industry took a proactive stance. Led by the Dutch Pension Federation (Pensioenfederatie), a key representative body for pension funds in the Netherlands, the sector anticipated the need for a common language and framework to manage the impending increase in data traffic. This foresight led to the development and introduction of the SIVI All Finance Standard (AFS) as a collaborative, industry-wide effort to streamline and simplify the necessary data exchange between pension administrators and asset managers. As one report notes, “To simplify this process, the SIVI standard has been developed”. This initiative represents a significant step by the industry to preempt potential operational bottlenecks and inefficiencies that could arise from uncoordinated, bilateral data exchange arrangements in the new pension environment.
This proactive approach by the Dutch pension sector is noteworthy. Often, data standards emerge reactively, in response to crises or market disruptions that expose critical gaps in data transparency or interoperability. The SIVI initiative, however, was born out of an anticipation of future needs catalysed by regulatory reform. Such foresight can lead to smoother transitions, potentially lower implementation costs for the industry as a whole, and the establishment of a more robust and efficient system from the outset, offering a model for how other sectors or countries might approach similar large-scale transformations.
The SIVI All Finance Standard (AFS) is designed with a broad and ambitious vision: to form the foundational layer of a dynamic, flexible, and interconnected digital ecosystem within the entirety of the Dutch financial services industry. Its overarching objective is to empower all parties within the financial chain—from insurers and intermediaries to banks and pension providers—to optimally support their customers through streamlined processes and enhanced interoperability. SIVI AFS aims to foster an environment where various distribution models can flourish, operational costs related to data exchange are reduced through the adoption of open standards, and market opportunities can be more effectively optimised.
Within this broad ecosystem, SIVI AFS has a specific and critical role in the pension sector. In the context of the Wtp reforms, its primary purpose is to simplify, standardise, and streamline the increasingly complex information exchange that must occur between pension administrators (who manage the individual pension accounts) and the asset managers (who are responsible for investing the pension capital). The standard focuses on creating a common understanding and format for data related to investments and their performance.
The SIVI AFS documentation outlines a clear focus on three key areas to achieve its ecosystem vision:
This ecosystem approach suggests a vision that extends beyond simple point-to-point data exchanges for pension administration. While the immediate impetus for SIVI’s application in the pension sector is the Wtp, the underlying SIVI AFS framework is designed to be much broader, encompassing other financial domains like insurance, mortgages, and loans.
This implies a potential future where pension data, appropriately aggregated and anonymised, could interact within a larger financial data ecosystem, possibly enabling more holistic financial planning tools or integrated services for pension participants, contingent on robust privacy safeguards and participant consent where applicable. Thus, SIVI is not merely a tactical solution to the Wtp’s data challenges but a strategic building block for future innovation across the Dutch financial landscape.
To achieve its objectives, the SIVI AFS is guided by five core principles that underscore its pragmatic and adaptable approach to standardisation:
These principles indicate a commitment to developing a standard that is not only technically sound but also practical, user-friendly, and economically viable for the industry to adopt. This approach aims to foster widespread acceptance and ensure the long-term relevance of SIVI AFS in a rapidly evolving financial services environment.
At its heart, the SIVI standard provides a “uniform set of data tables and fields that all parties agree to use for reporting on investments and performance”. This fundamental agreement on structure is what enables streamlined communication. As Wouter Köbben of APG described, “There’s a uniform structure that ensures everyone uses the same tables and enters specific data in predefined fields”. This eliminates the ambiguity and conversion errors that arise when parties use disparate, proprietary formats.
The technical foundation of this uniformity is the SIVI All Finance Standard (AFS), which incorporates the All Finance Data Catalogue (AFD). The current version is AFD 2.0. The AFD is structured around several key building blocks:
A critical aspect of the SIVI standard, particularly in the context of pension data, is its clearly defined scope regarding what information is exchanged and, just as importantly, what is not.
The following table provides an overview of the data scope within the SIVI All Finance Standard as it pertains to pension fund data exchange:
Table 2: SIVI All Finance Standard – Pension Data Scope Overview
Data Category | SIVI Coverage Status | Rationale/Example |
Investment Holdings | Covered at Aggregated Cohort Level | To allow pension administrators to monitor asset allocation and exposures for different participant cohorts (e.g., by age group or risk profile). |
Investment Performance Metrics | Covered at Aggregated Cohort Level | For calculating and reporting cohort-specific investment returns and benchmarks. |
Aggregated Transaction Data | Partially Covered (Aggregated for investment purposes) | Aggregated cash flows, subscriptions, redemptions necessary for investment administration at a cohort level. |
Individual Participant Identifying Data | Not Covered | Personal data such as names, BSN numbers, specific individual balances are explicitly excluded to protect privacy. |
Individual Participant Transaction Data | Not Covered | Specific contribution amounts or withdrawal details for an identifiable individual are outside this standard’s scope. |
Investment Strategy & Policy Documents | Not Covered | Overarching strategic agreements, mandates, and allocation rules are exchanged outside of SIVI’s operational data flow. |
Pension Fund Governance & Internal Controls | Not Covered | Information related to the internal governance structures or compliance frameworks of the pension fund or asset manager. |
This careful delineation of scope ensures that SIVI facilitates the necessary operational data exchange for efficient pension investment management and reporting while rigorously upholding data privacy principles.
The SIVI standard’s governance structure is a key element contributing to its credibility and industry acceptance. It is characterised by a clear division of roles:
This governance model, separating industry ownership (ensuring relevance and buy-in) from neutral, expert maintenance (ensuring technical quality and adaptability), is crucial. Furthermore, the development of SIVI AFS is explicitly “demand-driven,” meaning its evolution is guided by requests for changes or expansions from the chain parties, third parties, and suppliers who use it. This ensures that the standard remains a living document, adaptable to the evolving needs of the financial services industry, rather than a static, one-off specification. This responsiveness fosters a sense of co-ownership and engagement from the industry, making it more likely that the standard will continue to solve real-world problems effectively.
The adoption of the SIVI standard offers tangible benefits to participants in the Dutch pension ecosystem, primarily by addressing long-standing inefficiencies associated with disparate data formats and bespoke communication protocols.
The core value proposition of SIVI in the pension data exchange context is its ability to simplify and standardise. By establishing a common data language, SIVI directly tackles several operational pain points:
This chain of benefits from a uniform data structure to easier integration and reduced reconciliation stems directly from SIVI’s core function of eliminating the root cause of previous inefficiencies: non-standardised data exchanges. The value of this standardisation is amplified in the context of the Wtp reforms, which are increasing both the frequency and complexity of the data that needs to be exchanged.
Beyond the direct benefits reported by early adopters, the SIVI All Finance Standard, in its broader conception, aims to deliver wider operational efficiencies across the financial services industry. These include:
While efficiency and cost savings are primary drivers, the adoption of SIVI also offers less immediately obvious, yet strategically important, advantages. Standardised data inherently leads to more consistent and potentially higher-quality data, as definitions and structures are harmonised. This improved data quality, in turn, enables more reliable analytics, better-informed decision-making by pension fund trustees and executives, and more accurate performance reporting to participants and regulators. Furthermore, a standardised data framework makes it significantly easier for organisations to adapt their systems to new data requirements stemming from future regulatory changes or market developments, as the core “language” for data exchange is already established. For pension funds, the ability to ingest and compare asset manager data in a uniform format greatly facilitates robust oversight and more effective manager selection and monitoring processes.
The effectiveness and widespread adoption of any industry standard heavily depend on a robust and trusted governance framework. The SIVI standard benefits from a clear structure that delineates ownership, maintenance responsibilities, and the process for its evolution, fostering confidence among its users.
A cornerstone of SIVI’s governance is that the standard, particularly in its application to the pension sector, is owned by the Dutch Pension Federation (Pensioenfederatie). The Pensioenfederatie is the principal advocacy group and representative body for nearly all pension funds in the Netherlands. Its membership collectively manages the vast majority of occupational pension assets in the country.
This ownership by a respected industry association, which directly represents the primary users (pension funds), is of paramount significance. It ensures that the standard is developed and maintained with the core interests and practical needs of these funds at the forefront. It also lends considerable credibility and authority to the standard, signalling that it is not an externally imposed requirement but rather an initiative driven by the industry for the industry. This model helps to build trust and encourages voluntary adoption, as pension funds can be confident that their perspectives are central to the standard’s design and purpose.
While the Pension Federation holds formal ownership, the crucial tasks of day-to-day maintenance, technical development, and ongoing stewardship of the SIVI All Finance Standard (AFS) fall to the SIVI organisation (Stichting SIVI). SIVI is an independent, non-profit foundation established as a knowledge and standardisation institute for the broader Dutch financial services sector. Its remit extends beyond pensions to include the insurance and absenteeism management industries. SIVI’s core mission is to develop, manage, and promote standards that facilitate efficient and effective digital business processes across these sectors.
This arrangement of industry ownership combined with maintenance by a dedicated, neutral standardisation body is a key strength. SIVI brings specialised technical expertise and a focus on standardisation best practices, ensuring the quality, coherence, and technological relevance of the AFS. The organisation acts as the custodian of the standard, managing its versions, documentation, and the tools that support its implementation, such as the AFD 2.0 Online data catalogue.
The fact that SIVI AFS development is “demand-driven” is also a critical aspect of its governance. This means that the standard is not static; it evolves over time based on requests for changes, enhancements, or expansions submitted by the various parties that use it, including pension funds, administrators, asset managers, and software suppliers. This iterative, user-centric approach ensures that the standard remains relevant to the practical, operational needs of the industry and can adapt to new regulatory requirements, market practices, or technological advancements. This direct line from user needs to standard evolution fosters a sense of shared ownership and continuous improvement.
The governance model inherently promotes a collaborative approach to the SIVI standard’s evolution. By involving key industry players—such as insurers, intermediaries, service providers, and technology suppliers, in addition to pension sector participants—in the process of defining and refining the standard, SIVI ensures broad applicability and buy-in. SIVI aims for “joint governance with regard to functionality and cost development,” particularly when central platforms or large-scale systems leveraging the standard are considered.
This collaborative ethos is vital for the long-term sustainability and utility of the standard. It provides a framework for discussing proposed changes, resolving potential conflicts, and ensuring that the standard continues to meet the diverse needs of its user base. A clear governance model, involving both industry ownership and a dedicated, expert maintenance body, is crucial for any data standard to remain viable and trusted over time. It provides the necessary mechanisms for updates, version control, dispute resolution, and adaptation to future changes, such as clarifications or amendments to the Wtp or emerging technological opportunities. This structured yet responsive governance is a key factor in SIVI’s success within the Netherlands and its potential credibility as a model for similar initiatives elsewhere.
The challenges and solutions emerging from the Dutch pension reforms, particularly the development of the SIVI standard, resonate well beyond the Netherlands. Many European Union member states are grappling with similar pressures on their pension systems, and the principles underpinning SIVI offer valuable insights for broader European data harmonisation efforts.
The European pension landscape is diverse, yet several common trends and challenges create a shared need for greater efficiency and standardisation in data exchange:
The Dutch Wtp reform, and the SIVI standard developed in response, can be seen as a national-level engagement with many of these broader European challenges. The pressures driving the need for SIVI in the Netherlands—individualisation, transparency, data complexity—are mirrored across the EU. Consequently, the success of SIVI in this context makes it a highly relevant case study for other European nations and EU bodies.
The SIVI standard, both in its technical design and its governance model, incorporates several features that could be beneficially applied to address EU-wide needs for pension data harmonisation:
Beyond its technical specifications, it is SIVI’s development and governance process that offers a valuable non-technical blueprint for other European countries or EU bodies. This process, characterised by industry leadership, collaboration, and pragmatism, could inform strategies for tackling data harmonisation in a complex, multi-jurisdictional environment.
The principles embodied by SIVI resonate with several ongoing EU-level data strategies and harmonisation initiatives:
SIVI’s focus on a specific, critical segment of data exchange (administrator-asset manager interactions for aggregated investment and performance data) suggests that successful European harmonisation might be more achievable through a series of targeted, domain-specific standards rather than attempting to create a single, monolithic EU pension data standard from the outset. This approach aligns with EIOPA’s push for “smarter, more harmonised” regulation that can be targeted and proportionate. Such an approach could involve identifying common, high-impact data exchange areas across Member States and encouraging the development of interoperable, SIVI-like standards for these specific domains, which could then potentially be linked or aggregated over time to build a more cohesive European pension data landscape.
The journey of the Dutch pension system through the Wtp reforms, and the concurrent emergence of the SIVI standard, offers critical lessons for the broader European pension landscape. Data standardisation is no longer a niche technical concern but a strategic imperative for building efficient, transparent, and resilient pension systems capable of meeting the challenges of the 21st century.
The case of SIVI clearly demonstrates that data standardisation is fundamental for:
For pension fund administrators, standardisation means a reduced operational burden, improved data quality for crucial tasks like member record-keeping and benefit calculations, and more streamlined reporting to stakeholders. For asset managers, it translates to simplified client reporting processes, easier onboarding of pension fund clients who adopt the standard, and a reduction in the resources needed to support multiple proprietary data formats. For compliance officers, standardised data exchange enhances the ability to monitor adherence to protocols, ensure data integrity, and demonstrate compliance with increasingly stringent regulatory requirements across Europe.
The Wtp and the SIVI standard highlight the growing importance of data not just for routine operational processing but as a strategic asset within the pension industry. Effective data management and exchange, underpinned by robust standards, will be key to navigating future reforms, managing complex risks, and ultimately enhancing the value delivered to pension scheme members.
The trend towards greater data standardisation in pensions is clear. Stakeholders across Europe should consider proactive steps:
The key message for all stakeholders is that data standardisation is not a passive development to be observed from the sidelines, but an active and evolving trend that requires engagement. Proactive assessment of internal capabilities, strategic planning for adoption, and participation in broader industry discussions are crucial for navigating this transition successfully. Early adoption of, or alignment with, robust data standards can become a significant competitive differentiator, signalling operational efficiency, technological maturity, and a forward-thinking approach to pension administration and asset management.
The journey towards harmonised pension data, as exemplified by the SIVI standard in the Netherlands, presents both challenges and opportunities. Understanding the intricacies of these emerging standards, their technical underpinnings, and their strategic implications is crucial for all participants in the pension ecosystem. AssetIdBridge, one of our partner platforms, with its expertise in financial data management and standards harmonisation, is positioned as a thought leader and a valuable partner for organisations seeking to navigate this evolving landscape.
The insights gleaned from the Dutch experience with SIVI can inform strategies for modernising pension administration, enhancing data exchange efficiency, and ensuring regulatory compliance not only in the Netherlands but across Europe. As professionals search for solutions related to “pension data standard Netherlands” or “pension fund data reporting,” understanding the principles and successes of SIVI will be paramount, and guidance on implementing such standards or the tools to comply with them will be increasingly sought after.
AssetIDBridge gives pension ecosystem participants the tools to harmonise their asset identifiers.
The Dutch Wet toekomst pensioenen has set in motion a fundamental transformation of one of Europe’s largest pension systems, with the transition to individualised Defined Contribution schemes creating an urgent need for more sophisticated and voluminous data exchange. The SIVI All Finance Standard, born out of proactive industry collaboration led by the Pension Federation, stands as a critical enabler of this transition. By establishing a uniform language for investment and performance data, specifically at an aggregated cohort level to protect personal information, SIVI offers a pathway to significant operational efficiencies, reduced manual effort, and improved data quality, as evidenced by early adopters.
The governance of SIVI, characterised by industry ownership and expert maintenance, fosters trust and ensures that the standard evolves in line with the practical needs of its users. This pragmatic and collaborative approach, coupled with a clear and privacy-conscious data scope, provides valuable lessons that extend far beyond the Netherlands.
As other European countries face similar pressures from pension reforms, demographic shifts, and the overarching EU drive for financial data harmonisation (evidenced by initiatives like FIDA and EIOPA’s work), the SIVI model offers a compelling case study. It demonstrates that industry-led, domain-specific standardisation can provide tangible benefits and serve as a building block for a more integrated and efficient European pension data ecosystem. The strategic imperative for pension fund administrators, asset managers, and compliance officers is to recognise data standardisation not merely as a technical adjustment but as a fundamental component of future-ready pension operations. Proactive engagement with these evolving standards will be key to navigating the complexities of modern pension administration and harnessing the power of data for a more resilient and transparent retirement future across Europe.