A rose by any other name

February 12, 2016

In an increasingly return constrained environment, reclassification of investment buckets has found quite a lot of traction.  A recent article in Financial News comparing returns of local government pension plans suggested that in order to offer bespoke options to underlying employers with different risk profiles, many funds are starting to create an a la carte range of options.  It suggested that the Cheshire Pension Fund, is particularly advanced along this road, with four investment strategies: growth A and B, medium growth and UK gilts, according to its 2015 report.  This reflects some other reclassification that has become popular among other institutions, such as Railpen, and is an area to watch carefully going forward.