Backed by a Silicon Valley accelerator, the Irish fintech is preparing to launch its award-winning next-generation pensions to a pan-European audience.

DUBLIN, IRELAND, October 15, 2021 /EINPresswire.com/ – Irish fintech start-up TontineTrust plans to disrupt the global retirement industry by launching a new generation of pensions that enable savers to reduce risk and benefit from levels higher retirement income according to new OECD reports.

After completing the first Silicon Valley-backed Stacks-run accelerator, the startup closed an undisclosed seven-figure investment round led by Stacks. The funds are used to finalize the development and launch of the MyTontine pension, which is expected to be one of the first Pan-European Personal Pensions (PEPP) to be launched under the new European regulations.

“A few years ago, I was surprised to discover a major problem in the pension sector which will ruin the retirements of sixty million Europeans over the next decade. After months of research, I came across research articles explaining how the “tontine Retirement could become the iPhone of retirement products,” says Dean McClelland, Dublin-born Founder and CEO.

“I was convinced that a machine learning tontine retirement platform could turn the tide of the growing global pension crisis. Here we are four years later and governments, the OECD, the UK, Canada and even traditional voices like the Lex column of the Financial Times are all talking about tontine pensions. ”

While the TontineTrust platform represents a major technological breakthrough for the global pension industry, the concept of tontine risk sharing is not new. Two hundred and fifty years ago, investors across Europe subscribed to Irish tontine pension plans, and at their peak in the United States, tontine pension plans were five times more popular than annuities.

In recent decades, mentions of tontines were generally limited to episodes of The Simpsons, M * A * S * H ​​as well as novels and films such as The Wrong Box and Kelly’s Heroes. However, tontines are now on their way to being a box office hit in the one major financial services industry spared from technological innovation.

According to the Wall Street Journal, more than 6 in 10 baby boomers fear running out of money in retirement more than they fear death itself. Knowing that more and more of us are living to age 100, it’s impossible to calculate how much of your savings you can safely afford to spend each week in retirement. This is why Nobel laureate William Sharpe described it as “the worst and most difficult problem in finance”.

This is also why an estimated 84 percent of American and European retirees want lifetime income pensions. However, low interest rates and high fees have made annuities unaffordable, leading the OECD to conclude that they are no longer the best option compared to the potential of tontine pensions.

This is where TontineTrust comes in. Their patent-pending global platform allows savers to solve their risk of living longer by pooling their savings in a blind trust. Essentially, retirees are betting that they will be the ones who live the longest and that if they are successful, they will inherit some benefits from those who died earlier.

According to studies by the Swiss Federal Institute of Technology, this system increases the retirement wealth of savers by 87 percent without additional investment risk.

“We are at an exciting stage in our growth,” said COO Richie Kelly, who left his position as Pension Manager at Primark last year to join TontineTrust. “In a few months, the PEPP will create a single market for pensions among the more than 550 million consumers who will be free to choose the best European pension for them. The tontine’s Irish pensions have taken Europe by storm before and we would like to think they can do it again.

Much like previous fintech disruptor Stripe, the Irish company has raised all of its overseas seed funding, but the team is considering an Employment Incentive Investment Program (EIIS) offering in the coming months to facilitate Irish investors who have failed before.

If modern tontines prove to be as popular as those of centuries past, they could become a new multi-billion dollar industry and TontineTrust hopes to set the standards in this new asset class just as Vanguard has done for ETFs. . Of course, the OECD recognizes the advantages of tontines. In a recent article, the OECD proposed that tontines be made compulsory for retirement in 37 of the richest countries in the world.

About TontineTrust
TontineTrust is a fintech start-up now headquartered in Ireland, where it is a pioneer of the future of pensions. The TontineTrust platform offers low cost lifetime income pensions to governments, institutions and individual savers using a collective risk sharing model which is now endorsed by the OECD, the UK Department for Work and Pensions as well as many respected academics and think tanks around the world. The platform uses Stacks blockchain technology to fulfill its commitment to offer the world’s most transparent pension funds to give savers the peace of mind they deserve in retirement.
More information: https://tontine.com

About Stacks Accelerator
Developed by a team of doctors, Stacks enables the next generation of financial applications secured by the Bitcoin blockchain. Stacks was the very first SEC-approved blockchain offering that was backed by their investor network of major Silicon Valley investors including YCombinator, Union Square Ventures, Winklevoss Capital, Digital Currency Group, Blockchain Capital, SVAngel, ZhenFund, Naval Ravikant and many others. .
More information: https://stacks.ac

Allan wright
Tontine Trust Retirement Technologies Limited
+353 818 370 060
[email protected]
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