UK/EUROPE - Schemes in the UK and throughout Europe are maintaining their commitment to equities despite market volatility, a survey by Invesco shows.
The fund manager found institutional investors had only reduced their weighting by two points in the past year – “a lot smaller than that expected given the heavy fall in equity markets over 2002”.
Average fixed income weightings rose from 49% to 54%, while real estate and other alternative assets declined slightly from 10% to 9%. However, the “high level of uncertainty” persuaded investors to retain a high level of cash at 13%.
The survey, carried out from May to June 2003, asked institutions in the UK, France, Germany, Italy and Benelux, to base their answers on their financial results to the end of 2002.
Most respondents in this week's Pensions Buzz do not think businesses should be able suspend AE contributions if in financial distress.
Former BHS owner Dominic Chappell has lost the appeal against his section 72 conviction and sentence for failing to hand over information to The Pensions Regulator (TPR).
This week's top stories include Marsh and McLennan Companies agreeing to buy JLT, and the home secretary calling for AE to be scrapped in a no-deal Brexit scenario.
Lesley Titcomb says the watchdog wants closer interactions with pension funds to spot problems sooner and act before having to use its more stringent powers