UK - The roughly £2.3bn (€3.4bn) Kent County Council pension scheme has axed Goldman Sachs Asset Management from a roughly £350m UK and overseas equities mandate amidst a strategic asset reshuffle at the scheme.

Schroders also lost out on managing £50m worth of assets following the change.

According to financial services chief Nick Vickers, a decision was made by the scheme to move to a 50:50 UK : global equities split.

He added there were “greater opportunities for managers to add value in global than UK”.

GSAM’s £350m brief and a £150m overseas equities mandate managed by Schroders were pooled to create three new briefs.

Alliance Bernstein was awarded £300m, GMO Wooley was given £150m and Schroders was awarded a £100m unconstrained quant product with “slightly lower assets”, according to Vickers.

Schroders already manages £595m for Kent in a multi-asset mandate.

Meanwhile, GSAM retained its £165m fixed interest mandate and a reported £150m global tactical asset allocation overlay across the scheme’s total assets.

GSAM declined to comment on its £350m loss.

The scheme, with roughly 39,000 members, told IPE that all the mandates are not running for fixed periods.

According to Vickers, the pension fund has completed its move towards a specialist management structure, with more potential for outperformance.

Consulting firm Hymans Robertson advised in the tendering and selection process.

The scheme has 69% of its investment portfolio invested in equities, 15% in fixed interest, 10% in property, and 6% in GTAA.

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