Pensions360

We are delighted to send you our latest pensions newsletter and to invite you to our next pensions webinar, on 7 October 2020 at 10 - 11am, which will cover:

• Investment changes, including climate change and DC value for members
• The latest on GMP equalisation
• What schemes should know about Brexit; and
• Recent Pensions Ombudsman determinations 

For more details and to register please click here. 

To access the newsletter, please click here.

Pension scheme investment and governance have been occupying policymakers and regulators both in the UK and in Europe.  Pension trustees are faced with a challenging array of new requirements, recommendations, statements of good practice and consultation proposals coming from a wide range of sources.

This note, originally issued in September 2019, explains the new obligations on pension scheme trustees in relation to:

• Setting objectives for investment consultants
• Compulsory tendering for fiduciary managers
• Changes to the statement of investment principles (SIP)
• Changes to the annual report
• Requirements to publish certain information on a website
• Notifying members of information available on a website.

We have updated this note to take account of developments over the past year, in particular the delays to certain regulations and guidance following the Covid-19 pandemic.

Trustees should note in particular the obligation to report compliance with the investment objectives and fiduciary management requirements to the Competition and Markets Authority by 6 January 2021, unless DWP regulations are brought into force before this date.

We will cover the government's August 2020 proposals on climate-change risk, and the recent consultation paper on improving outcomes for DC members, in separate notes.

This note is aimed at trustees of occupational pension schemes.  However, advisers and employers may find the information useful. 

To read more, please click here. 

The Pensions Regulator has issued guidance for supervising the commercial consolidation of defined benefit (DB) pension schemes into Superfunds.  Consolidation into "Superfunds" may be an attractive option for employers wishing to discharge their pension obligations where the cost of a traditional buy out with an insurance company is beyond reach. After transfer to a Superfund the link with the employer will be severed.  At the same time, a Superfund is expected to provide a robust level of security for members' benefits.