UK - Defence contractor Raytheon is to reduce the equity weighting in all five of its pension schemes, worth a combined £160m, in favour of bonds, shifting from a 50/50 allocation to 70/30.
The move, anticipated to be completed in the first quarter of this year, will not involve a change of investment manager. Gartmore, which currently acts as Raytheon’s sole manager, will run the fixed income securities worth around £30m.
Pension scheme manager David Frame said all five pension schemes were mature, in excess of 40 years old.
Consultants William M Mercer advised.
* Gartmore has also announced that Frances Davies is to take up the role of head of global institutional. She was previously managing director of GMO Woolley and a board director of Deutsche Asset Management.
By Luke Clancy
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