A quarter of the Global Pensions 100 panel members plan to implement a new allocation to infrastructure or increase an existing one.
The news will be a welcome one for cash-strapped governments looking for pension funds and other private sector investors to fund infrastructure projects. According to Mercer, this is expected to lead to greater availability of quality assets, but warned while the time is right to be prospecting for unlisted infrastructure investments, the timing of making an actual investment decision must also be right, especially given the upfront cost and ongoing time commitments involved.
One of the respondents who said they plan to increase their exposure said “the security must be government guaranteed and should have a sweetener in it”.
(To read more about how pension funds are using infrastructure within their portfolios, click here)
The Centre for Social Justice is calling for the state pension age to be raised to 70 by 2028 and to 75 by 2035, a much faster rise than currently planned.
The High Court has blocked the £12bn transfer of Prudential's annuity book to Rothesay Life, citing the insurer's lack of "established reputation" and differing "capital management policies".
This week's top stories included Legal & General acquiring MyFutureNow to provide a dashboard service to customers, while also agreeing a hybrid buy-in with a Hitachi scheme.