The Occupational Pension Schemes (Investment and Disclosure) (Amendment) Regulations 2019 (SI 2019/982) have been laid and require both defined contribution (DC) and defined benefit (DB) schemes to explain policies, in their Statement of Investment Principles (SIP), in relation to:

• how they monitor the investee company on capital structure;

• how targeted portfolio turnover

or turnover range is to be defined and monitored;

• how they manage actual and potential conflicts of interest in relation to their engagement;

• details of their arrangements with their asset managers; the duration of the arrangement, how the scheme incentivises the asset manager to align investment strategies and decisions, and

how they monitor portfolio turnover costs incurred by the asset manager;

• publishing their revised engagement policies which explain, amongst other things, how they have cast their votes in the general meetings of companies in which they hold shares.

In essence this is all about stewardship: the responsible allocation and . . .

14 June 2019   Check other news items