GLOBAL - Schemes are being urged to take an overweight position in commodities until the end of the war in Iraq.
Axa Investment Managers – which has seen lower-than-expected returns from the asset class since its introduction last September – recommends the overweight position until the “geopolitical uncertainty fades”.
Commodities produced returns of 3% for Axa since September against an expected year-on-year performance of 10%.
Axa senior strategist Franz Wenzel said energy and precious metal components should hold up through uncertainty about the Middle East.
But he warned that copper may trade with increased risk due to weaker semi-conductor sales.
Wenzel added: “We recommend to stick to the overweight position for the time being, until the geopolitical uncertainty fades.”
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.