EUROPE - Aon Consulting is planning to extend its newly launched manager of manager product into Continental European markets.
Aon, which announced the launch of the new product to the UK market two months ago, is setting up the new manager of manager product from a base in Dublin as an open-ended investment company (OEIC) to allow it to be marketed in other European countries.
Although no timescale for the expansion has yet emerged, the consultant is currently examining utilising its pension fund contacts around Europe to offer the Dublin-based product to continental European pension funds.
The markets where Aon Consulting has a significant local presence include Austria, Belgium, Denmark, France, Germany, the Netherlands and Spain.Alvar Chambers, senior investment consultant at Aon Consulting in the UK said the current objective is to get the product up and running in the UK market but that the structure had been specifically set up to allow entry into other European markets.
He noted that the funds for the manager of manager products will be domiciled in Dublin under ‘European uses’ legislation.
“That allows us a lot of freedom in the future to have different types of investors and to have investors from different markets in the European Union,” said Chambers.
“There are internal decisions that have not been taken yet that would affect what our plans are outside the UK, so I cannot give an indication as to the timescale,” he added.
At its launch Aon said its new UK service gave “superior access” to multiple specialist managers, thereby reopening the conflict of interest debate when consultants offer investment products.
Chris Erwin, investment principal at Aon Consulting, said at present he would not recommend Frank Russell’s manager of manager product.
The registration deadline for the Workplace Savings & Benefits Awards 2019 is today.
This week's top stories were the DWP giving the green light to CDC and TPR granting extensions for 11 master trust authorisation applications.
Susan Martin says building strong foundations for business are the only way forward as the pensions industry is radically shaken up
The Pensions Regulator (TPR) has granted Now Pensions a six-week extension for its master trust authorisation application after the 31 March deadline, PP can reveal.