Trustees’ responsibilities are widespread: they include ensuring their pension scheme is well run, protecting members’ benefits and fulfilling their regulatory commitments. Managing the investment strategy forms just one part of these responsibilities, but often it’s a time-consuming one. Could partnering with the right fiduciary manager help deliver better outcomes?
A fiduciary management approach can help reduce the burden by delegating day-to-day implementation of the investment strategy to a team of investment experts. This means the fiduciary manager makes decisions on the trustees' behalf, within a clearly defined set of guidelines. This should lead to better decisions and therefore better outcomes by improving focus, expertise, speed and risk management , as we explain below:
1. Increased focus on the decisions that matter the most
Trustees have to manage their responsibilities alongside the demands of their normal day job. By delegating the details of the investment strategy, they gain the benefits of an expert whose sole occupation is to concentrate on investment. By having clearly defined roles and responsibilities, trustees can ensure that they remain in control of the key decisions that affect the future of their pension scheme.
This document is intended to be for information purposes only and it is not intended as promotional material in any respect. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Information herein is believed to be reliable but Schroders does not warrant its completeness or accuracy. No responsibility can be accepted for errors of fact or opinion. Reliance should not be placed on the views and information in the document when taking individual investment and/or strategic decisions. Past performance is not a reliable indicator of future results, prices of shares and the income from them may fall as well as rise and investors may not get back the amount originally invested. Schroders has expressed its own views in this document and these may change. Issued by Schroder Investment Management Limited, 1 London Wall Place, London EC2Y 5AU, which is authorised and regulated by the Financial Conduct Authority. For your security, communications may be taped or monitored. CS1525b
Trustees’ responsibilities are widespread: they include ensuring their pension scheme is well run, protecting members’ benefits and fulfilling their regulatory commitments. Managing the investment strategy forms just one part of these responsibilities,...
Selecting a fiduciary manager is one of the most important decisions trustees can make, given the appointee's pivotal role in setting and implementing a scheme's investment strategy.
What the new long-term funding target means for trustees and how good governance can help them stay in control of this target…
The correlation between good governance and investment performance...