Fixed income funds managed by Merrill Lynch Investment Managers and Goldman Sachs Asset Management have suffered a two-notch drop in their ratings - from AAA to A - by Standard & Poor's.
The news comes in spite of large mandate wins for Merrill in the past quarter.
Standard & Poor said that its lack of exposure to Japanese government bonds was behind the downrating. S&P said that Goldman Sachs Global Fixed Income fund had consistently underperformed against its benchmark - the JP Morgan Global Traded Government Bond index.
ACMGI Global Bond portfolio was the only fund to be upgraded to AAA by S&P, and both Mellon Newton UGF International Bond fund and Newton International Bond fund were upgraded one notch to AA.
The Pensions Administration Standards Association's Margaret Snowdon won the coveted Pensions Woman of the Year award. She tells Stephanie Baxter about lessons she has learned along the way.
Defined benefit (DB) schemes are set to shorn themselves of over £300bn of liabilities between 2019 and 2021 as they continue to mature, Mercer predicts.
This week's top stories include the Competition and Markets Authority issuing its final report for the investigation into investment consultants, and The Pensions Regulator launching its first fraud prosecution.
Many investment portfolios that rely heavily on stock-bond diversification to manage risks may not be protected against inflation surprises. Real assets offer a solution.