UK - The £5.6bn Greater Manchester Pension Fund is attributing its outperformance to UBS Global Asset Management.
Greater Manchester’s last valuation in March 2001 showed it had £105 for every £100 in liabilities, compared, on average, to £90 for every £100 needed at local authority schemes.
Head of pensions Peter Morris said: “UBS has been the main driver of our relative performance in the last two or three years.
“Our relatively high property allocation has also stood us in good stead.”
Greater Manchester has three external fund managers that manage 80% of its assets in multi-asset portfolios – UBS Global Asset Management, Capital International and Legal & General. In the late 1990s the scheme was underweight in equities compared to other schemes, but is now more in line with the peer group benchmark, with 67.5% in equities.
The remainder of the assets are managed in-house and consist of property (10%), index-linked (7%), venture capital (1%) and cash (3%).
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