INCLUDING: EUROPE - Mercer voices concerns on EU Directive on alternatives; FRANCE - FRR up 10.5% in the second quarter; SWITZERLAND - Funds cover ratio slightly better
EUROPE - Mercer voices concerns on EU Directive on alternatives
The European commission's draft Directive on Alternative Investment Fund Managers (AIFM) could have side-effects materially detrimental to institutional investors, Mercer claimed.
The consultant said the directive should be revised in way that takes into account the "practical concerns" of industry participants and does not restrict how institutional investors can invest in alternative assets.
It added the directive in its current wording "imposes ‘one size fits all' restrictions across a diverse industry".
FRANCE - FRR up 10.5% in the second quarter
The Fonds de réserve pour les retraites (FRR) bounced back into positive territory, with net performance up 10.5% in the second quarter from -6.5% in the first.
FRR said this turn was mostly attributable to the strong rebound in the equity markets observed since the second half of March.
Total assets stood at €28.8bn (US$41.3bn) on June 30, compared to €27.7bn on December 31, 2008. Equities, real estate and commodities make up 48% of FRR's portfolio and fixed income and cash assets combined total 52%.
SWITZERLAND - Funds cover ratio slightly better
Swiss pension funds cover ratio improved by 1.7 percentage points during the first half of 2009 due to the recovery in stock markets, according to pension provider Swisscanto.
Cover ratio improved from 91.7% at the beginning of the year to 93.4% at the end of June.
However, Swisscanto said: "The slight improvement can not obscure the fact that it has still, by no means, been possible to overcome last year's slump and that the situation for pension institutions must continue to be described as being tense."
University College Union (UCU) and Universities UK have appointed Joanne Segars to chair the joint expert panel to examine the valuation of the Universities Superannuation Scheme (USS).
The Pensions Regulator (TPR) was right to use its powers to seek financial support from ITV for members of the Box Clever pension scheme, the Upper Tribunal has said.
All 6,000 UK schemes had a surplus of £361bn by the end of last month when calculated under a best estimate return on their assets, according to First Actuarial.
Research highlights confusion about where responsibility to support members on transfers lies. Kim Kaveh looks at the key findings.