Utilising side letters

Victoria Jeacock and Georgina Rankin explain how trustees may have more negotiating power than they think

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Preferential contractual terms for trustees investing pension scheme assets, such as lower management fees or limitations on liability, have always been possible but have typically been reserved for funds making material-sized investments.

However, in the current economic climate, there is more of a willingness to agree to preferential terms, even in relation to relatively modest investments. With the move away from the traditional d...

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