Alexander Forbes has launched an implemented consulting service for defined benefit (DB) pension fund trustees.
The service, which was previously only accessible by the largest UK pension schemes, will now be available to DB schemes of all sizes.
It provides trustees with real-time advice on strategic and tactical asset allocation, recommendations on new asset classes and investment opportunities, and guidance on when to replace investment managers. It is designed to keep a scheme on track to achieve its investment funding objective.
Jarrod Parker, head of consultants and actuaries at Alexander Forbes, said: “Implemented consulting is a compelling solution for pension schemes. It provides real-time investment advice with a focus on both the assets and liabilities to pension fund trustees, enabling them to act promptly to capture the benefits of changing market conditions for the benefit of their scheme.
“To date, the service has only been available to the large UK schemes, but now we are making it available to trustees of schemes of all sizes. For too long, trustees of FTSE 250 companies and [small and medium-sized] SME employers have had to make do with little more than a triennial pension valuation to guide their investment decision, but now we are making a cost-effective solution available to schemes of every size.
“Our implemented consulting service guides trustees along the best route to arrive at their target funding level. First we identify where trustees want to go and agree an investment objective to reach that destination. Then we plan the route by recommending and implementing an investment strategy.
“After that, we keep a constant eye on progress to make sure the fund is on track. Finally, if the planned route hits investment turbulence or is missing the funding target, we will recommend a new route.”
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