Investment

Video: Richard Greening, chair of Islington Council's pensions sub-committee, explained why the £800m fund made its residential property allocation despite some member concerns, in this first edition of Policymakers and Decision-makers (5:30).

The £6bn Baring Dynamic Asset Allocation Fund returned 5.5 per cent in 2012 for scheme investors including the Hammersmith & Fulham pension fund, compared with a 11.6 per cent return for the FTSE All Share Index.

Large UK pension funds including the £34.2bn USS and £11.1bn GMPF have turned their attention away from the eurozone debt crisis as a central investment risk affecting members.

Round-up: Challenging market conditions have pushed pension funds towards exploring more innovative investment options. Here are some accounts of how certain schemes executed such choices in 2012. 

UK Coal has given itself 10 to 12 years to erase its £450m pension deficit, its finance director said, following a major restructure that saw its pension schemes take a three-quarter stake in its property division.

Large UK pension funds have expressed cautious interest in a government-backed scheme to boost lending to mid-sized British companies, after tough capital requirements for banks limit corporate loans.

Lobby group FairPensions has called on schemes to scrutinise their investment providers’ ethical performance, using its responsibility ratings of some of the UK’s biggest ethical fund managers.

Employer support to pension schemes has stabilised following a downward trend caused by historically low gilt yields, according to an index published today.

The £34bn scheme has outlined how it tackles the governance risks of hedge fund investment, as the industry attempts to improve transparency in alternative investments.

UK pension schemes are showing a greater appetite for target date funds, according to consultants, as fund managers look to increase their defined contribution products.