UK - Commodities are "back in vogue" and should make up at least 10% of a pension scheme's investment portfolio, Barclays Bank's investment arm claims.
Barclays Capital says the asset class, which accounts for about 5% of most portfolios, offers “spectacular” returns and a valuable way of diversifying a pension fund portfolio.
Its 2004 Equity Gilt Study shows that commodities enjoyed a strong performance over the past year – making it an essential part of any fund.
It says: “Due to their complexity, commodities are often viewed as a tactical investment for those with access to specialist information and expertise. In contrast, our analysis shows they make a valuable strategic contribution to any diversified portfolio of assets.”
The firm said spot commodity prices, which have been on a downtrend during the past 25 years, may have bottomed.
“The returns accruing to investors in commodities are favourable over the long-term. There is some evidence the long decline in commodity prices is now bottoming.
Royal London saw its new group pension business decline over the first half of 2018 as the rollout of auto-enrolment (AE) drew to a close, according to its interim results.
Now Pensions has made "huge progress" in resolving legacy administration issues - switching systems and completing unit adjustment for a "large proportion" of members, it says.
Trustees of the Airways Pension Scheme (APS) will not make a firm decision on whether to appeal the Court of Appeal's judgment on discretionary increase payments until September.
Accountant Hashmukh Shah has pleaded guilty to deliberately providing false information to The Pensions Regulator (TPR) when stating a pension scheme had been set up for staff of a London-based restaurant.