By Sophia Grene, Financial Times, October 19, 2015
After a number of false starts, fiduciary management, where the day-to-day management of a pension scheme is outsourced, seems to be taking off in the UK market.
“My best guess is that, in five years, more than half of defined benefit [pension] assets will be run under some form of fiduciary management,” says Chris Ford, global head of investment at Towers Watson, the consultancy.
Fees and costs are controversial issues in the investment industry. Steven Charlton, Aisha Dudhia and Bart Heenk break down the key challenges in the discourse in the Autumn issues of Professional Investor. Bart Heenk: “The average pension fund trustee has limited insight into management fees and no idea of the true costs. This is largely because there is not attempt by the industry to provide clear and complete reporting. In fact most costs are, and remain, hidden unless you specifically ask for them.”
Read the full article here.
1-2 October 2015 – Sally Bridgeland was one of the speakers at the Allianz-Oxford Pensions Conference 2015.
Beyond the mid-life crisis: Challenges for plan sponsors and trustees in the UK as DB pension funds mature.