Martin George’s Post

An interesting article. Greater resillience and enhanced performance would be positive outcomes, but the government should be wary of over-prescribing a function of which it has no direct experience or capability itself. Difference is good thing too to compare approaches.

With an emerging cross-party consensus on the need for greater consolidation in pensions, there is a danger politicians will focus to much on master trusts and neglect other areas of defined contribution which need improvement. My latest feature for Pensions Expert looks at the complexity of improving contracted-out pension schemes as well as master trusts. Legacy schemes are another area which needs review. It's also vital policy makers do not become too caught up in consolidation for the sake of other political imperatives, such as improving investment in UK plc. They must ensure improving members' retirement drives all their decisions. Thanks to Alyshia Harrington-Clark, Rona Train and Lizzy Holliday for their insights and comments. #pensions #definedcontribution #consolidation #mastertrust #gpp https://lnkd.in/eQ83c-X4

Having recently led 3 DB pension scheme buy-ins for K3 Advisory it is clear, where possible, insurance remains the gold standard for smaller UK DB pension schemes. Following the mansion house speech, it is also evident that pension consolidation is a theme that will continue to develop. As part of that, it is really encouraging that there will be a roadmap to promote Collective DC #cdc with the potential to deliver members better and more targeted retirement outcomes.

This is a good article by Charlotte Moore in Pensions Expert, but it is silent on some of the main reasons why own trust DC schemes are not consolidating. There are many DC schemes which have features that mean moving members into modern schemes is pretty much impossible. A couple of examples are schemes which have members with guaranteed annuity rates or DB underpins. Whilst the current arrangements are not really fit for purpose (little or no communications, poor administration, etc.), these are valuable benefits to the members impacted and cannot be given up easily. There is no action being taken to help speed up the consolidation process for these schemes. The efforts of TPR to enhance governance and 'force' consolidation is just adding cost to the running of these schemes with no benefit to members, trustees or sponsors. Until we find a way to deal with these schemes, there is a very long tail of own trust DC schemes in the market that will continue to need to be managed separately. Adding more cost to the running of these schemes helps no-one, even the consultants who have to charge clients to help them stay on the right side of those governance requirements. #Pensions #DC #Consolidation #Governance

Elizabeth Carey: hard work (by assets), not short-term fixes, for affordable LGPS pensions With many LGPS funds now reporting surpluses and the funding problems for local authorities showing no sign of improvement, calls are mounting to review pension contribution rates. Elizabeth Carey, an independent adviser and research analyst for Local Government Pension Schemes argues that this could be short-sighted. #lgps #contributionrates #funding #surplus #pensions #localgov https://lnkd.in/g7nFRsxP

Interesting round up from Mike Weston of where progress on pooling in the Local Government Pension Scheme stands after five years, what is holding back further progress, and where it should be 10 years from now. No doubt his conclusion will be an interesting discussion point for delegates at next month's Local Government Chronicle Pension Insight Symposium in Stratford-upon-Avon: "A good target before 2033 would be three super-pools, each managing over £100bn; one £400bn national pool would be even better" #localgovernment #lgps #pensions #pooling #investment #consolidation #localgov https://lnkd.in/eRUTVRNx

A lot of conversations about this week's Mansion House pension reforms have - rightly - focussed on returns for savers. Less discussed are the significant communication challenges that will face managers - and the private equity sector in particular - as more pension money is allocated to investments where the hope of higher returns is accompanied by higher risk and higher fees. I've written a note for my future colleagues at Apella Advisors on the increased medium-term reputational risks now faced by industry participants. In sum: there are good policies and good opportunities here, but it's going to take a lot of work to maintain the consent of the public and their representatives for them. Do let me and Apella know what you think. #privateequity #pensions #publicaffairs #communications (Some of this note is kindly also reported in Private Equity International this week in an excellent Editor's View by Helen de Beer: https://lnkd.in/e2sdafSD ) https://lnkd.in/epcpdNeg

In the spirit of Black Friday, we have a fantastic deal for you today, with a 2 for 1 on new content!   Our team of experts have contributed to this month’s edition of PensionsAge: the leading pensions magazine. Check out our ‘in the media’ page below, where you can read Mark Cliff and Gillian Graham’s recent thoughts, from new governance models to dealing with pension complaints. #Vidett #PensionsAge #InTheMedia #Pensions #Governance

Time for UK pension funds to embrace global best practice by increasing their allocation to equities and alternative investments. This can provide a triple-win for pension holders, the economy and innovation.

Some pension fund regulators are more forward-looking than others when it comes to investing in venture capital, private equity, and other types of alternative investments. Here we have a case where the regulator explicitly calls for more investments in these areas. Bottom line: pension funds throughout the EU can and should invest more in venture capital and private equity. These investments are crucial for furthering the cause of innovation and growth in Europe. We at INVENIO Partners are very lucky to work with great partners at PIC "DSK - Rodina" AD and UBB Pension Insurance, KBC Group. Thanks to their ongoing support, we are able to continue investing in great companies in #Bulgaria, #Romania, and #Serbia. #venturecapital #privateequity #pensionfunds #growth #innovation #investing INVENIO Partners