While charities may have restrictions, either legally or self-imposed, on where or how they can invest, they generally have more freedom in investment terms than other institutions and so may explore a wider variety of asset classes. It is therefore important to set your charity’s investment strategy taking into account your own circumstances and avoiding a one-size-fits-all solution.
Our approach advocates that all three of the following areas are reviewed in setting a charity's investment strategy:
We can assist charities with some or all of these three stages. Although trustees often believe that manager appointments are key to investment success, in practice we find that the first two stages are far more important.
We tailor our services to each charity we advise.
Services may include some or all of the following:
“We are a charity with a £25m endowment, the income from which funds our work. Barnett Waddingham have been our investment advisers for the last eight years. We have greatly appreciated their professionalism, the quality of their advice, their responsiveness to issues and questions we have raised, and above all the performance of our endowment!”RAC Foundation for Motoring Ltd
ESG, SRI, ethical investing are often used interchangeably; but actually they are different and these differences affect how client portfolios should be designed and which investments are appropriate for meeting a client’s objectives.
Does the rationale for holding DGFs still hold true? Lower returns – what are the options? Quantitative Easing (QE) has brought forward future returns and has artificially inflated returns over the past five years.
The Government’s Budget announcement of freedom and choice in pensions may have inadvertently created a tax loophole. What should employers need to think about?
Should bulk annuity purchases be of interest to more schemes? With 132 transactions in 2017, this is small compared to the 5,700 UK DB pension schemes. Are schemes missing a trick, or does bulk annuity purchase only make sense in a minority of cases?
The use of LDIs, by which we mean the practice of using leverage to reduce the exposure of a pension scheme's funding position to interest rate and inflation movements, has become increasingly commonplace in pension schemes' investment portfolios.
The DWP issued a consultation on clarifying and strengthening trustees’ investment duties in June 2018, with responses requested by mid-July. What are the key proposals and what might trustees do to prepare?
In 2013 the Trustees of a Charity asked us to use modelling to illustrate possible future investment returns and volatility resulting from the Charity’s current asset allocation, and then to suggest possible alternative asset allocations.
During early 2012, one of our schemes was constrained by the funding basis and the availability of contributions from the employer to the extent that it could not afford to reduce the level of risk and purchase additional protection.
United Response is a top 100 UK charity which needed a new workplace scheme to fulfil its auto-enrolment duties. We helped guide the charity through the challenges they faced.
Our independent advisory services for fiduciary management is evolving, with a name change to FM Evaluate, and a new leader. Previously called Fiduciary Management Oversight, the change to FM Evaluate.
We are proud to announce the appointment of Paul Maguire as Investment Consultant to the charity and not-for-profits sector.
We are delighted to appoint Sonia Kataora as our new Head of DC Investment to lead the provision of investment advice to DC clients.