XPS Pensions has enhanced its fiduciary management selection service in order to help trustees through initial selection and mandatory re-tendering.
The update to the service follows the Competition and Market Authority's (CMA) review into the investment consultant and fiduciary management markets.
The CMA is introducing a package of 12 measures for trustees and managers of occupational pension schemes, which will take effect from 10 December 2019. These included requiring fiduciary management mandates - where they were not tendered and cover more than 20% of scheme assets - to be put to a competitive tender within five years.
XPS said it wanted to ensure that trustees retained or appointed the right fiduciary manager for their "beliefs" and "scheme's needs", with a full review of commercial terms.
Head of fiduciary management oversight André Kerr said: "We have always offered trustees a competitive approach to fiduciary management oversight but have now enhanced this service as, for these exercises, trustees do need a proportionate approach that does not add unnecessary cost or complexity."
He also said the consultancy had spoken with various schemes that already used a fiduciary management arrangement, and understood the benefits of re-tendering exercises will differ depending on their circumstances.
He added: "Put simply, we believe that the approach that each scheme takes when undertaking a review of their existing fiduciary arrangement should be proportionate to their needs."
He also noted that schemes will generally fall into one of two categories: either a streamlined review with a commercial terms refresh, or a full suitability review across all selection criteria.
"Either way, the benefits of complying with the order can result in greater efficiencies overall for schemes."
The announcement comes as Pi Consulting and IC Select yesterday (21 August) announced they have joined forces to launch a service which provides advice and support to schemes tendering fiduciary management mandates.
The Pensions Regulator opened a consultation in July, inviting responses from pension trustees and advisers in a consultation on four draft guides to support tougher investment governance rules.
Meanwhile, also last month, the Department for Work and Pensions opened a consultation on transferring oversight of the CMA's remedies to TPR.
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