UK - The £1.1bn British American Tobacco UK Pension Fund has selected Scottish Widows Investment Partnership to manage a £165m bond mandate.
SWIP – the asset management arm of Lloyds TSB – will manage the portfolio, which contains corporate bonds, UK gilts and overseas bonds.
BAT, which was advised by Mercer Investment Consulting, undertook an extensive selection exercise of top managers before selecting SWIP.
SWIP was chosen on its “excellent” track record across the bond spectrum. SWIP’s institutional bond business has £5.2bn under management and 85 segregated clients.
Head of institutional business Chris Walker (pictured) said: “This is SWIP’s largest win so far in 2004 and reflects our strong abilities in bonds. We look forward to working with this prestigious client.” The mandate follows SWIP’s recent bond wins from Scottish Enterprise (£40m) and Wellington Insurance (£150m).
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