UK - The £19bn Universities Superannuation Scheme has dropped Schroders, Baillie Gifford and Merrill Lynch Investment Managers from its roster, following a review of its investment strategy.
The three firms have been dropped following the fund’s decision to move away from balanced fund managers.
The managers have been replaced by Wellington Management International which has been hired to run a £1.9bn global equities mandate, Goldman Sachs Asset Management International which will manage a £950m UK equities brief and Legal & General which will run a £950m active bonds mandate.
Existing managers include Capital International which manages a £1.9bn global equities and Henderson Global Investors which runs a £220m enhanced UK indexed equities.
Peter Moon, chief investment officer said: We have made the changes entirely because of this different approach. There is no criticism or complaint about the performance of the previous managers or the strength of our relationship with them. Indeed, we will maintain a close dialogue with them.
The fund said that the reorganisation of its portfolio, in line with the new strategy, has now been completed.
USS manages 70% of its assets in house and now has a total of five external fund managers instead of the previous three.
Mark Evans has been appointed as a director at Independent Trustee Services (ITS) to lead trustee appointments in London.
The Pension Protection Fund (PPF) is consulting on changes to the actuarial assumptions it uses in valuations in a bid to better reflect the bulk annuity market, with schemes set to move into surplus on aggregate.
Private sector defined benefit (DB) schemes were 96.3% funded on a Pension Protection Fund (PPF) compensation basis at the end of July, according to the lifeboat fund's monthly index.
Conduent has completed the sale of its actuarial and human resource consulting business to private equity investor, H.I.G. Capital.