Who governs DC schemes: The main difference between contract-based DC schemes and trust-based ones is in the way that they are governed and managed. A trust-based DC scheme is operated in-house by an organisation for its own staff and is overseen by a board of trustees who have a duty of care to members. In contrast, contract-based DC schemes are overseen by the employer, but the contract is directly between a member and the company which provides the pension scheme (e.g. Legal and General). Since the birth of auto-enrolment an increasing number of employers are opting to outsource their pension schemes to mastertrusts, which are generally governed by a board of professional trustees.