UK - Torfaen Council has appointed a global equity manager, while RPMI has been awarded the administration contract for the Arup pension fund.
Elsewhere, BMI, the airline, is the latest firm to consult on plans to close its defined benefit (DB) scheme to existing members, while luxury goods store Harrods is believed to be considering an insurance option to protect its pension liabilities.
Torfaen County Borough Council has awarded Aberdeen Asset Management a global equity mandate valued at around £120m (€131m) on behalf of the Greater Gwent (Torfaen) Pension Fund.
The £1.15bn Welsh pension fund has around 77% allocated to equities, with 46% in the UK and 31% in overseas stocks. Torfaen council initiated the tender for a new manager in July to better position the fund.
It confirmed the new contract would sit alongside the existing overseas mandate although the global portfolio is to be funded from the earlier termination of a UK active equity contract run by State Street Global Advisers. (See earlier IPE article: Torfaen to move into global equities)
Elsewhere, RPMI - the investment and administration services provider to the Railways Pension Scheme - has been awarded an administration contract by Arup UK Pension Scheme.
Transfer of the administration services for around 5,500 members has already begun and full integration is expected by 1 January 2010. RPMI noted, however, that the contract only covers Arup's existing pension scheme, and is unrelated to the employer's current consultation on the possible closure of the final salary scheme.
Airline BMI - which is owned by Lufthansa - is one of the latest firms to begin a consultation process on the future of its defined benefit schemes, which could lead to the scheme's closure to future accrual.
The consultation process with trustees and members is part of the restructuring plan announced by the firm last week, in an effort to cut costs. The airline emphasised no decisions have been made about the future of the scheme - which closed to new members in 2001 - although it admitted closure is likely as the scheme is "increasingly unaffordable".
Meanwhile, Harrods officials and the trustees of the pension scheme are believed to be examining the possibility of agreeing either a pensions buy-in or a buyout, to secure its pension liabilities and minimise the impact of the scheme on the company's financial statement.
However, Katharine Witty, group director of public relations, only said: "Harrods carries out the statutory valuation which is normal procedure every three years. We are bringing it forward a little to make sure the company and our pensioners are protected. We are looking at a variety of options."
And finally, East Riding Council in Yorkshire has become the 50th member of the Local Authority Pension Fund Forum (LAPFF).
The voluntary association noted more than 50% of the Local Government Pension Scheme (LGPS) funds have now joined the organisation.
Rodney Barton, head of investments at East Riding, said: "The East Riding Pension Fund has decided to join the LAPFF as it will contribute to our aim of maximising shareholder value through active engagement on issues in accordance with the fund's Corporate Governance and Voting Policy."
If you have any comments you would like to add to this or any other story, contact Nyree Stewart on + 44 (0)20 7261 4618 or email nyree.stewart@ipe.com
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