UK - BAe Systems has revealed that Aon Consulting is performing an asset liability modelling study on its four pension schemes.
The study on the schemes – valued at £8.5bn – has been under way for the last three months. Aon is due to present results to the trustees in May. Investment management at BAe’s two largest funds – a £4.3bn fund and the £2.4bn fund which arose from the GEC takeover in 2000 – is handled by a 15-strong in-house team.
BAe Systems pensions director Nigel Tinsley said: “We looked at a number of firms but we liked Aon’s approach. They will give us the service we are looking for.”
Aon has acted as scheme actuaries to the British Aerospace scheme since the late 70s.
So far this year Aon has also won investment briefs at a £600m and a £125m fund. Other awards include investment work for an Oxford University college and an investment consulting appointment with the Student Union Superannuation Scheme.
Adrian Swales, head of Aon's investment consulting practice, said the spate of mandates was justification for his decision to build up the investment practice prior to winning new business. He added: “The variety of the mandates has been just as satisfying as the volume.”
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