The Trustee of the Merchant Navy Ratings Pension Fund (MNRPF) has appointed Towers Watson as Fiduciary Manager of its GBP850 million pension fund.
The appointment follows an independently intermediated process to help determine the appropriate governance solution for the fund and manage the tender.
Pieter Steyn (pictured), UK head of Delegated Investment Services at Towers Watson, says: “We are delighted to have been part of this thorough and intermediated process and to be given the opportunity to convert the Trustees’ very clear investment beliefs directly into an investment portfolio. The construction and investment of this portfolio make us explicitly accountable for performance versus liabilities and frees up the Trustees to concentrate on strategic decision making and oversight.”
The Fiduciary Management mandate involves strategic advice and execution of strategy. Towers Watson will be responsible for the day-to-day management of assets against MNRPF’s strategic goals. The mandate includes a dynamic engagement model with the fund’s investment committee and emphasises wide use of investment tools and solutions.
Chris Wagstaff, Independent Chairman of MNRPF Investment Committee, says: “After a comprehensive process to identify our investment beliefs and the best governance structure for the fund, we are pleased to have Towers Watson as our Fiduciary Manager. As a result of this approach, we believe we have the governance structures and working arrangements in place to build an investment portfolio consistent with our investment beliefs to deliver optimal fund performance for our members.”
The Trustee has also appointed an independent intermediary, David Clare of Barnett Waddingham, to work with Chris Wagstaff to oversee Towers Watson in its role as fiduciary manager.
This appointment follows AQA and Shop Direct also recently outsourcing their investment portfolios to Towers Watson to manage on a fiduciary management basis.