Schneider Electric has appointed Aon to provide full fiduciary management services for over £400m of assets held in the Schneider Pension Plan.
The energy technology and research company granted the mandate to Aon after a formal tender process, with Aon being appointed as the sole fiduciary manager for the entire investment portfolio.
The scheme did not use fiduciary management portfolio before, and Aon's mandate was effective from 31 May.
It comes after the Competition and Markets Authority issued a final order requiring schemes to tender for fiduciary management services where this encompasses 20% or more of assets.
Schneider Pension Plan trustee chairman Rodney Turtle said: "Trustees are faced with new and challenging investment options and economic environments that continue to add to the governance burden associated with managing and overseeing the scheme's assets.
"After a careful review, the trustees of the Schneider Pension Plan concluded that the investment selection and management would be better managed using fiduciary management."
Turtle added the mandated included a "very clear long-term return objective aligned to the trustees and the company's funding strategy".
The scheme is expected to be able to access a wider range of investment options with greater speed and ability to react to changes in market conditions.
"We are confident that, with Aon's support, the scheme will be able to deliver its investment objectives with a material reduction in risk and a significantly reduced level of funding volatility," Turtle added.
Aon head of large client solutions Sonia Gogna commented: "The Schneider Pension Plan trustees appointed us after a highly competitive selection process. Our approach was very much designed to the specific needs of the Schneider plan.
"Given their strategic objectives, we created a tailored solution and service model built around their requirements for both today and tomorrow. The trustees have now achieved greater diversification and investment sophistication and been able to refocus their governance spend more strategically."
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