UK - Schemes have hit back at criticism of their implementation of the Myners principles and claim the research used is "out of date".
They say the second volume of research by the department for work and pensions and the Treasury is based on interviews conducted more than a year ago and no longer reflects the progress made.
The DWP examined how trustees made investment decisions and how practices had changed in line with investment decision-making principles set out in the 2001 Myners report.
It found there was still “considerable work to be done” in some areas and that progress had often been led by consultants and advisers, rather than trustees.
Furthermore, it said trustees’ performance on reporting to members was “often poor”.
The government has threatened the industry with tighter regulation if the principles are not suitably implemented.
But National Association of Pension Funds board member and Coal Pension Trustees chief executive David Morgan rejected the criticism and claimed there had been considerable progress throughout the industry in the year since the interviews were conducted.
“More has happened in the 12 months since the survey had been done and I am sure that pension funds will show much more change if you measure them in a year or two years’ time,” he said.
Watson Wyatt head of European investment consulting Nick Watts agreed.“We have always had a concern that the timescale for measuring compliance with Myners for smaller schemes was going to be challenging.
“In the last year, there has been significant change in the frequency of investment strategy reviews incorporating risk budgeting techniques to complement more established processes.”
Some 1580 trustees were interviewed for the report, which is part of a ministerial review.
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