European Parliament passes supplementary pension rights directive

first_imgIt was finally revived last year after internal markets commissioner Michel Barnier announced that the revised IORP Directive would not introduce capital requirements.The agreed proposal will now see a minimum vesting period of three years introduced, starting for workers no later than 21 years of age, with a requirement for deferred and active members to be offered the same rights – such as indexation.Member states must now adopt measures to ensure that deferred and survivors’ benefits “are treated in line with the value of the rights of active scheme members or the development of pension benefits currently in payment” – either safeguarding the nominal value, adjusting the value in line with increases offered to active members, or offering indexation against salary and inflation increases.The reduction of the vesting period to three years will impact a number of member states including Germany, where it currently stands at five years.Withold Galinat, vice-president of benefits policies & coordination at German chemical group BASF SE, last month told the Handelsblatt occupational pensions conference in Berlin that the Directive was “dispensable and unattractive”.Mercer Germany’s head of international retirement Stefan Oecking previously complained that attempts to amend a member state’s stance on vesting rights was “contrary to the subsidiarity principle” of the European Union.The UK’s National Association of Pension Funds was less concerned with the changes, telling IPE that the UK already complied with the rules.James Walsh, policy lead for EU and international matters at the association, said: “The NAPF now looks forward to this being adopted by the Council of Ministers and becoming a full directive.” The European Parliament has adopted the disputed Directive on supplementary pension rights, lowering the vesting period for accrual of pension benefits to three years across the single market.László Andor, commissioner for social affairs, said it was “vital” to ensure that workers were not penalised when they moved across member state borders.“This Directive complements the protection of state pension rights by ensuring that occupational pension rights are guaranteed after a limited period and that they are preserved when people move to another member state.”First proposed by the European Commission in 2005, attempts to introduce the then-Portability Directive were abandoned after a 2007 revision failed to receive the required support.last_img read more

Smart-beta allocations still restricted to larger schemes, research shows

first_imgOf those yet to evaluate smart beta, the most common reason cited was a lack of belief it provided any investment merit, stated by 41% of schemes.One-third (32%) said it was because consultants were yet to recommend the option, while one-quarter (24%) cited a lack of resource.The institutions responding to the survey also disagreed on the definition of smart beta, although, amid the ongoing debate, a consensus is forming.Some 45% of respondents said smart beta could be defined as an alternative way to construct market exposures, whereas 22% said it was any index exposure not based on traditional market-cap weightings.While smart beta can be used across both equity and fixed income asset classes, the research focused on usage within shareholdings.The majority of respondents (62%) still only have less than 10% of their equity exposure run under smart-beta strategies, while 18% have more than 20%.However, half of those with allocations expect to increase this in the near future, with around 42% maintaining their set up.This combines with more than three-quarters of schemes currently evaluating allocations expecting to make one within the next 18 months.Of those choosing not to implement a smart-beta strategy, the most common reason was a limited track record from managers, stated by 35% of respondents.The research also found a growing divide in the perception and take-up of smart-beta strategies across Europe and North America.While 40% of European institutions responding have allocations, this fell to 24% in North America.More than 30% of North American investors said they did not anticipate making allocations in the next 18 months, while the proportion evaluating and deciding not to implement was broadly equal between the two regions.Sorca Kelly-Scholte, managing director for client strategy and research, said the research showed the strategy was very much still in its infancy.“The results also confirm that outcome-orientated European investors are embracing smart-beta index tools,” she said. Smart-beta allocations are still restricted to pension funds with greater resource, despite their being seen as a middle ground between passive and active equity allocations, according to research by Russell Investments.Russell’s survey of global institutional investors found that only 9% of pension funds managing less than $1bn (€722m) had smart-beta allocations, compared with 46% for those with more than $10bn in assets. Close to half of these smaller funds also stated no plans to start evaluating allocations to the range of strategies, while around a tenth ruled out allocations altogether.Across all scheme sizes, 32% have allocations, with around one-tenth ruling out any movement into the space.last_img read more

Industry experts criticise stress tests’ ‘one size fits all’ approach

first_imgThe results of EIOPA’s stress tests for pension funds were “unsurprising” apart from when compared with GDP, according to Georg Thurnes, chief actuary at Aon Hewitt Germany and a board member at the pension fund association aba.Thurnes said his only “a-ha moment” when reading the results came when he noted the amounts sponsoring companies would have to make up, relative to GDP, in stress scenarios.According to the results report, up to 45% of Dutch GDP would be at stake should the most adverse scenario occur.In the UK, it would be 20%, and in Ireland 30%. For Germany, the share of GDP would be less than 5%, Thurnes said.According to EIOPA, “the relatively high impact for the Netherlands is partly driven by the size of its IORP sector and its regulatory framework”.Not only have a lot of assets accumulated in the system in recent years but Dutch IORPs must also meet a funding requirement amounting to 127% of liabilities, valued on a market-consistent basis.EIOPA said the results also reflected the fact national valuation methods, national regulatory frameworks and size of IORP sector “differed considerably” among member states.For Thurnes, these figures show that “total real risks in a country’s pension system can only be assessed if the complete pension system is taken into account”.He points out that the Netherlands, the UK and Ireland rely less on the first pillar for retirement provision than Germany.Further, only parts of Germany’s funded pension system are taken into account in EIOPA’s scenarios, as not all of the vehicles in the country are IORPs.Christian Böhm, chief executive at Austria’s €4.3bn APK pension fund, also expressed concern that the national features of the various pension systems were “not fully taken into account” at the European level.He said EIOPA’s stress tests were “an attempt to try and fit mismatching systems under one headline”.“Various countries’ second pillars are as different as they are chiefly because their first-pillar systems are also very different,” he said. Another problem is that “solutions are often found to problems that do not exist”.The cross-border pension question, he said, was a case in point.“Not everything has to be changed to facilitate cross-border business because there is not that much cross-border business anyway,” he said.He added that this was not down to pension regulation but mainly to tax questions, “which cannot be resolved using an EIOPA Directive”.last_img read more

IPE 360: Asset managers should ‘fight back’ against regulator

first_img“At the same time, most people in asset management are much better behaved now. The value of trust is being built up, which it wasn’t before, so the need to professionalise seems to be less important than it was before.”Transparency, fee levels, and competition – the three main elements of the asset management review – were all improving “because of the market, not despite the market”, Ellison argued.Increased regulatory requirements and forcing more intermediaries to take fiduciary responsibilities was causing “a little bit of havoc and a lot of cost for asset managers”, he said – with the costs eventually being borne by members and individual investors.He also took aim at the FCA’s criticism of asset management companies’ profit levels. In its interim report into the industry, published in November, the regulator calculated that average profits were roughly 35% at listed asset managers.Ellison – who is also head of strategic development in pensions at law firm Pinsent Masons – questioned whether this was an area that warranted input from the regulator.“I’m not sure it’s anything to do with the regulator,” he said. “What is the regulator doing talking about how profitable [asset managers] are? It should be glorying in the fact that it’s a profitable industry.”Ellison claimed asset managers were “asleep on watch” when it came to regulation.“I want you fighting back on my behalf to argue with the regulator,” he said. “Most asset managers ignore the regulator or just comply. I don’t want you to do that. I want you to fight.” Asset managers should “fight back” against regulatory creep, according to a leading pensions lawyer and trustee.“Most asset managers ignore the regulator or just comply. I don’t want you to do that. I want you to fight.”Robin Ellison, Carillion Pension TrusteesSpeaking at the IPE 360 conference in London last week, Robin Ellison, chair of trustees at Carillon Pension Trustees in the UK, raised concerns about the Financial Conduct Authority’s (FCA) asset management review. The final report is due to be published tomorrow.Ellison said: “What the regulatory framework has been trying to do for the past 20 years is to turn asset managers into a profession in which you have a duty to the client higher than the duty to yourself.last_img read more

ESG roundup: PLSA urges shareholder action over climate change policies

first_imgThe research found that, over the longer term, levels of shareholder dissent had fallen since a peak in the aftermath of the financial crisis and the subsequent focus on governance that this entailed.Executive pay awards continued to be the most controversial aspect of corporate governance, although there were signs that shareholders were also voting against the chair of the remuneration committee if they voted against the remuneration policy.Luke Hildyard, stewardship and corporate governance policy lead at the PLSA, said there was still “considerable room for shareholder scrutiny of pay practices to improve”.‘Concerted action’ call for better stewardshipPension funds and other asset owners should make stewardship central to the design and assessment of asset manager mandates, a think tank has suggested.“There is a troubling disconnect between our system of wealth creation and the society which it serves.”Tomorrow’s CompanyThe suggestion was one of several made by Tomorrow’s Company in a discussion paper that set out concrete actions that every agent in the investment chain should take to help improve stewardship.Another proposal was that the UK’s Stewardship Code should apply not just to asset managers but also to asset owners, investment consultants, research analysts and other relevant service providers and advisers.The think tank also said stewardship should be central to the terms of reference of the Financial Conduct Authority, which regulates asset managers.The Financial Reporting Council, which looks after the Stewardship Code, is gearing up to launch a formal consultation on changes to the code later this year.Tomorrow’s Company’s report draws on the work of a group of institutional investors – the Stewardship Alliance – which comprises representatives of UK pension funds RPMI Railpen and USS, as well as asset managers Aviva Investors, BlackRock, HSBC Global Asset Management, Hermes and Legal & General Investment Management.Anita Skipper, corporate governance adviser at Aviva Investors, said: “We need to encourage a better shared understanding right along the investment chain, from individual investors and pension scheme members to boards and companies, about what good stewardship looks like.”The think tank said there was a “troubling disconnect between our system of wealth creation and the society which it serves”.Mark Goyder, founder of Tomorrow’s Company and author of the report, said: “Better stewardship is the key to better pensions, better productivity, and greater public confidence in the whole system of wealth creation.”Tomorrow Company is inviting feedback to its ideas, which can be found here. Antimicrobial benchmark firstWhat is said to be the first antimicrobial resistance benchmark was presented in Davos last week. Developed by the Access to Medicine Foundation, a Dutch non-profit organisation, the benchmark evaluates how the pharmaceutical industry is responding to the phenomenon of bacteria developing resistance to antibiotics, which threatens their effectiveness.The benchmark, funded by the UK and Dutch governments, assesses 30 pharmaceutical companies, showing where pharmaceutical companies are taking action against AMR, which ones are leading, and where faster progress is needed.The goal of the benchmark is to incentivise pharmaceutical companies to implement effective actions for tackling the problem of antimicrobial resistance. The methodology for the benchmark was presented last year.Antimicrobial resistance is on investors’ agendas, with some calling for an end to the routine use of antibiotics in farming. Brunel director on green finance committeeMike Clark, a non-executive director of the £28bn (€32bn) Brunel Pension Partnership, has been appointed specialist adviser to a UK parliamentary committee for an inquiry into green finance. Mike Clark will advise a House of Commons committee on green finance questionsThe Environmental Audit Committee of the House of Commons will be examining what the main drivers are behind institutional investors’ decisions on the type of investments they include in their portfolios, and what relative weights they give to possible financial return, environmental/carbon impact, energy security, or other factors, when considering financing energy or environmental projects.It will also examine how effective the financial markets are in matching available finance to the required investment in renewable energy and other green projects.Dawn Turner, CEO at Brunel Pension Partnership, said: “As responsible investors, these are all questions that interest Brunel enormously, and we are really pleased that one of our own board members is directly involved in this capacity.”Clark set up a responsible investment advisory firm after having worked at Russell Investments for 21 years. He has contributed to public policy over many years, including working on the UN Principles for Responsible Investment and the UK Stewardship Code. The UK’s pension fund association is encouraging its members to vote against the chair of a company if they feel the company is not doing enough to ensure its business model is compatible with efforts to limit global temperature increases.Pension funds should first engage with companies, the Pensions and Lifetime Savings Association (PLSA) said, and withhold support for the re-election of the chair if the company did not provide a detailed risk assessment and response to the effect of climate change on their business. Withholding support suggests shareholders could also abstain.The stance was set out by the PLSA in a new section of its corporate governance policy and voting guidelines, focusing on sustainability.Separately, the association reviewed the results and causes of shareholder dissent in 2017 for the 350 largest UK-listed companies and found that, overall, levels of dissent at annual meetings had not changed much over the past two years. Roughly one fifth of FTSE350 companies experienced “significant dissent” over at least one resolution at their AGM last year, according to the PLSA.last_img read more

30 providers exiting UK DC provision as new law enforced

first_imgNicola Parish, executive director, TPRTrustees of master trust schemes were responsible for reviewing TPR’s new guidance and code of practice to ensure they were ready for authorisation, Parish added.Malcolm McLean, senior consultant at Barnett Waddingham, said: “Some master trusts are too small to be economically viable, while in other cases there have been claims of malpractice.“We should welcome, therefore, a new regime which seeks to stabilise a market that may be dangerously out of control and hope and expect TPR will be able to weed out all schemes that fall short of the minimum standards required.”Joel Eytle, pensions legal director at DLA Piper, added that the new regime would place “a much more active and onerous obligation” on TPR to oversee master trusts and ensure ongoing compliance with the new law.“The concerns are whether the regulator will have sufficient resources to effectively police the regime, and whether the obligations on master trusts will prove too onerous and deter entrants to the market,” he said.“It will also be important for traditional multi-employer schemes with participating employers who are not in the same corporate group to take legal advice on whether they would be classified as a master trust, as this would mean that they would now need to be authorised under the new legislation.”ConsolidationSharon Bellingham, senior consultant at Hymans Robertson, said the authorisation regime would drive consolidation among DC master trusts.She said: “Looking ahead, it’s pretty interesting to think about [how] the market might look like 12 months from now – survival of the fittest and most committed, who might ship out ahead of the new authorisation regime and who might try but not make it.“It doesn’t take much crystal ball gazing to see that the consolidation already happening will gain pace.“It’s absolutely key to ensure that individuals are protected at all times and it’s also important to avoid chaotic market exits that may dilute confidence in the master trust brand.  What we’ve seen so far has been controlled and measured, which is exactly how it should be.”In April, the People’s Pension – one of the UK’s biggest master trusts with more than 4m members – acquired Your Workplace Pension, a £20m (€22.5m) DC fund.The same month, the Salvus Master Trust acquired the smaller Complete Master Trust, boosting its assets above £100m. Multi-employer defined contribution schemes in the UK must apply for authorisation from the country’s regulator from today under a new law brought in last year.The Pensions Regulator (TPR) said 30 such schemes – known as master trusts – had either stopped their services or were in the process of doing so as they were unable to comply with the stringent new rules.That left 58 providers – including funds such as NEST, the People’s Pension and NOW: Pensions – with a six-month window to apply for authorisation.Each master trust must prove they have “fit and proper” staff, sufficient financial reserves and “robust” systems, processes and protections. Nicola Parish, executive director for frontline regulation at TPR, said: “The success of automatic enrolment has led to rapid growth in master trusts. Authorisation and supervision is vital to ensure 10m savers can have confidence that their retirement savings are safe.”last_img read more

Prepare for rain, hail and setbacks

first_imgInside 24 Brussells Avenue at Morningside, which goes to auction at 9am today, Saturday October 27.PREPARATION is key to a successful auction but things don’t always go to plan.And while wild weather may be one of them, stormy skies don’t usually deter genuine buyers.“I remember a house that was sold at auction for 4$ million last year,” Place Bulimba agent Shane Hicks said.“There was 25 registered bidders and a crowd of 250 and we were going to hold the auction on the tennis court.“But then a storm rolled in so we held it on the deck in the torrential rain. If people want to buy a house they will come rain, hail or shine.” Lightning pictured over Brisbane City, Brisbane 25th of October 2018. (AAP Image/Josh Woning) Likening an auction to a garden wedding, Mr Hicks said it was always important to have a plan B.More from newsParks and wildlife the new lust-haves post coronavirus16 hours agoNoosa’s best beachfront penthouse is about to hit the market16 hours ago“And a plan C, a plan D,” he said. “Things can go wrong but you just have to keep everyone calm. “Selling real estate is rarely black and white.”But some of the biggest clangers come auction day are rarely related to the weather, Mr Hicks said.He said issues with financing was the most common problem encountered. Place Bulimba agent Shane Hicks will take this house at 24 Brussells Avenue at Morningside to auction today, Saturday October27, at 9am.As for sellers, Mr Hicks said there were a few things they could do to ensure their best shot at auction. These included providing a building and pest inspection to all prospective buyers, get a rental appraisal done, provide a report on all of the easements, stormwater and sewer pipes on the property, list comparable sales in the area to give the purchaser a broad guide as to the price range and ensure the agent is opening for inspection during the week and on a Saturday.“All of this will put the seller and agent in more control but more importantly make the buyers job of making the decision much easier and give them a great deal of confidence in that decision,” he said. Place Bulimba agent Shane Hicks.“From the start we encourage all interested buyers to start that pre-approval conversation with their advisers early,” he said. “The other issue that can come up is a party being out of town, but that’s usually an easy fix as they can register an agent or friend to bid on their behalf.“And sometimes a buyer has sold their own property and then there is an issue with that contract.“That’s when we encourage them to still attend the auction and if it doesn’t sell we can enter in to a private treaty.”last_img read more

Own your own winery an hour from Brisbane

first_imgThe MTVW retail and production arm … Mr Clark remained tight-lipped on the potential sale price for the property but said it would be substantial.He said the property was being sold by negotiation after its founder passed away a few years ago.“His (the founder) daughter took over but they want to move on,” he said. He said MTVW produced seven tonnes each of chardonnay and shiraz grapes, and three tonnes each of merlot and cabernet grabs last financial year. “And that was at a time when the late rainfall impacted the harvest,” he said.At Mount Tamborine, the retail arm consists of a cellar door retail store and tasting room, an events venue that is mostly used for weddings and a two kitchen restaurant.More from newsParks and wildlife the new lust-haves post coronavirus14 hours agoNoosa’s best beachfront penthouse is about to hit the market14 hours ago There is also 12 acres at the rear of the property used for growing avocadoes. Mr Clark said the grapes from the Ballandean property were harvested and transported to Mount Tamborine for crushing and bottling. He said the operation was an “outstanding business and land opportunity”, with the possibility of subdividing the 12 acres currently being used for avocado growing.“We will be targeting those people who already own vineyards and the high net worth individuals who have an interest nationally,” he said.“The campaign hasn’t even officially started yet but we have already had interest from Singapore and New Zealand.” The entire Mount Tamborine Vineyards and Winery (MTVW) operation has hit the market Love a good drop? Well put down the store-bought vino because here is your chance to own an entire vineyard and winery.The Mount Tamborine Vineyard and Winery (MTVW) is on the market for the first time since 1996, and will launch to the market this week. … and its vineyards at Ballandean on the Granite Belt are on the market. For sale by negotiation, the significant holding includes the 15.25 acre retail arm at 122-128 Long Road in Mount Tamborine and the 105.5 acre vineyard at Ballandean in the Granite Belt region. Ray White Commercial Gold Coast agent Thomas Clark said the MTVW vineyards at Ballandean were located next door to the award-winning, Sirromet Wines, and other well-known, top producers. Expressions of interest close on February 27.Mr Clark said the business had “huge potential for growth”.“Something of this calibre, it just doesn’t come along very often,” he said. “It is such a rare opportunity to have a business that is so self-sufficient with multiple income streams.“I think the last one that sold was Mason Wines but that was nothing compared to this one.”last_img read more

Buyer bags a bargain in Brisbane’s most expensive suburb

first_imgIt has a wide side access for cars, a caravan, or even a boat, and the house could be lifted to add more space.Inside there are VJ walls and polished timber floors and a recently-renovated kitchen with large feature windows. Video Player is loading.Play VideoPlayNext playlist itemMuteCurrent Time 0:00/Duration 1:58Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -1:58 Playback Rate1xChaptersChaptersDescriptionsdescriptions off, selectedCaptionscaptions settings, opens captions settings dialogcaptions off, selectedQuality Levels720p720pHD576p576p360p360p216p216pAutoA, selectedAudio Tracken (Main), selectedFullscreenThis is a modal window.Beginning of dialog window. Escape will cancel and close the window.TextColorWhiteBlackRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentBackgroundColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentTransparentWindowColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyTransparentSemi-TransparentOpaqueFont Size50%75%100%125%150%175%200%300%400%Text Edge StyleNoneRaisedDepressedUniformDropshadowFont FamilyProportional Sans-SerifMonospace Sans-SerifProportional SerifMonospace SerifCasualScriptSmall CapsReset restore all settings to the default valuesDoneClose Modal DialogEnd of dialog window.This is a modal window. This modal can be closed by pressing the Escape key or activating the close button.Close Modal DialogThis is a modal window. This modal can be closed by pressing the Escape key or activating the close button.PlayMuteCurrent Time 0:00/Duration 0:00Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:00 Playback Rate1xFullscreenWhy location is everything in real estate01:59IT is located in the coveted postcode of 4007, but this house in Brisbane’s most prestigious suburb has sold for less than half the median house sales price. The three bedroom Queenslander at 34 Mordant Street in Ascot sold for $720,000 on February 1 — that’s $880,000 less than the Ascot median house sales price of $1.6 million.Marketed as the “best value for money in Ascot”, the house sits on a 660sq m block within easy walking distance of the Doomben Racecourse, Doomben train station and is located in the Hamilton State School catchment. BARRRRRRGAIN!It was sold by LJ Hooker Sunnybank Hills agents Karl Gillespie and Kosma Comino.Mr Gillespie said the property had been bought by a Korean man who paid cash.“It was actually bought by a guy I know from Sunnybank Hills who paid cash for it as an investment,” he said.“I felt it should have gone for somewhere in the eights ($800,000-plus) … it went to auction but no one bid.”Mr Gillespie said he felt many of those looking in the Ascot area had been “picky” and did not want to “do any work”.“I think a lot of people had the mindset that they would have to spend money on it and if they were going to have to do that, they might as well spend that money elsewhere and get something they didn’t have to do any work to,” he said. Also on this floor are three bedrooms and a renovated, family bathroom.By comparison, the most expensive house sold in Ascot was at 27 Sutherland Avenue.The former Hamptons-style home of Domino’s Pizza boss Don Meij sold off-market for $11 million in January last year. It sold for $720,000 — $880,000 less than the Ascot median house sales priceProperty records show the previous owner had bought the house for $380,000 in 2005, and Mr Gillespie said the new owner planned to raise the house and possibly put two duplexes on the block.As it stands, the house is a classic Queenslander and has plenty of character features.More from newsParks and wildlife the new lust-haves post coronavirus14 hours agoNoosa’s best beachfront penthouse is about to hit the market14 hours ago The dining area and living room complete this open space, which opens on to a covered entertaining deck. This house at 27 Sutherland Avenue in Ascot sold for more than 15 times the amount paid for the Mordant St house. Set on a sprawling 2024sq m, the house has six bedrooms, all with marble ensuites. However, Mordant St has been fairly tightly held, with many ageing residents now downsizing. The sale of 34 Mordant St sets a new price record for the street. Nearby, a house on Onslow St sold for $645,000, and another on Hopetoun St sold for $770,000, both last year. While properties on Mordant St border the industrial end of Eagle Farm, Mr Gillespie said there was “plenty of potential”.last_img read more

REIQ to launch world-first technology that will make renting easier

first_imgThey used a similar online system for maintenance requests, which Mr Henderson said worked really well.“We’ve found that’s really reduced the number of phone calls coming into the office so that saves a lot of time, it also creates a written record,” he said.“It reduces the amount of possible errors that can be made as well.”The REIQ has partnered with Queensland technology firm Igloo to create the product.“As a start-up, we knew that our world-leading technology could vastly improve the way that people are connected with property but we needed an established partner to take it to market,” Igloo founder and chief executive Jeremy Hastings said.“The REIQ not only had the most widely used forms product in the state, it was also open to challenging the status quo — an essential element for working with us to drive value back into the tenancy process.”The system will also create a real-time view of the state’s rental market. John Henderson Professionals Mermaid Beach director Luke Henderson welcomed the technology.“If they can use the electronic signature to sign a lease, it would save time for both agent and tenant,” he said. Renting in Queensland is about to get a whole lot easier.RENTING is about to get easier with Queensland tenants the first to try new technology that will streamline the process of signing a lease and maintaining a property.The Real Estate Institute of Queensland will deliver the world’s first fully digitised residential tenancy agreements by the end of the year.The proptech innovation has the potential to transform the way rental properties are transacted and managed across the country and around the globe.REIQ general manager Josh Callaghan said it had been designed to make renting easier for both tenants and property managers.“At its simplest, a smart contract is a digital contract that can live beyond its initial execution by facilitating transactions and giving all parties a central record of what has happened during the tenancy,” he said.“This solution has been designed to reduce the manual handling of contracts from the property manager side while streamlining the process for tenants and giving both parties much better visibility over the agreement.” The technology is designed to streamline everything.He said it meant younger tenants who were used to paying for food and transport at the touch of a button could do the same with a rental property.“We’re in a world where that’s the norm,” he said.“By executing as a smart contract, we’re also able to build out the functionality to handle payments of bond and rent plus facilitate other activities related to the property such as routine inspections and maintenance.” MORE NEWS: Own the house used in Chris Lilley’s Netflix series More from news02:37International architect Desmond Brooks selling luxury beach villa10 hours ago02:37Gold Coast property: Sovereign Islands mega mansion hits market with $16m price tag1 day agoVideo Player is loading.Play VideoPlayNext playlist itemMuteCurrent Time 0:00/Duration 1:13Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -1:13 Playback Rate1xChaptersChaptersDescriptionsdescriptions off, selectedCaptionscaptions settings, opens captions settings dialogcaptions off, selectedQuality Levels720p720pHD540p540p360p360p216p216pAutoA, selectedAudio Tracken (Main), selectedFullscreenThis is a modal window.Beginning of dialog window. Escape will cancel and close the window.TextColorWhiteBlackRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentBackgroundColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentTransparentWindowColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyTransparentSemi-TransparentOpaqueFont Size50%75%100%125%150%175%200%300%400%Text Edge StyleNoneRaisedDepressedUniformDropshadowFont FamilyProportional Sans-SerifMonospace Sans-SerifProportional SerifMonospace SerifCasualScriptSmall CapsReset restore all settings to the default valuesDoneClose Modal DialogEnd of dialog window.This is a modal window. This modal can be closed by pressing the Escape key or activating the close button.Close Modal DialogThis is a modal window. This modal can be closed by pressing the Escape key or activating the close button.PlayMuteCurrent Time 0:00/Duration 0:00Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:00 Playback Rate1xFullscreenGet Rental Ready!01:14 MORE NEWS: Negotiations continue for castle and property guru’s houselast_img read more