WPP wins the Innovation Award at LAPF Investments Awards 2020
We are delighted to have won the Innovation Award at LAPF Investments Awards 2020.
Like other pools, we adopted a multi-manager approach to fund construction, to deliver the strongest possible risk-adjusted returns while achieving significant savings. However, this award recognises we made a significant step in innovation, adopting an “Enhanced Portfolio Implementation” (EPI) framework within our equity funds.
Managed by Russell Investments (within our ACS fund structure hosted by Link Fund Solutions), EPI brings the implementation of multiple equity manager portfolios into one holistic portfolio. Whilst new to LGPS, this leverages proven technology and has two significant benefits for our host authorities:
- Meaningful cost savings over and above the manager fee savings already achieved;
- Improved Governance from an ESG perspective: we have taken steps to lower our carbon exposure by an additional ~25% without impacting manager alpha. This is hugely powerful in supporting our administering authorities’ work towards their decarbonisation goals.
Not only has this been powerful for our members, but we believe this step also demonstrates that LGPS pooling can go beyond manager fee negotiations, accessing a second tier of cost saving and improved governance.
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Wales Pension Partnership awards Private Markets investment contracts
The Wales Pension Partnership (WPP) today announces a series of appointments to facilitate implementation of its Pooled Infrastructure and Private Debt investment solutions.
Russell Investments will develop the WPP pooled private debt investment programme, GCM Grosvenor will implement closed-ended infrastructure investments and open-ended infrastructure will be invested through CBRE Global Infrastructure Fund, IFM Global Infrastructure Fund and Octopus Renewables Infrastructure SCSp.
The appointments follow a rigorous procurement process run by the WPP with investment consultancy firm bfinance. The development will enable efficient and effective access to illiquid asset classes that are fast becoming significant holdings for LGPS funds.
The WPP’s Joint Governance Committee was established in 2017 and is responsible for oversight of the pool’s partner organisations and the services they deliver to the LGPS funds in Wales.
Carmarthenshire County Council acts as Host Authority, liaising day to day with the Pool’s external partners, on behalf of all of the LGPS funds in Wales.
Chris Moore, Director of Corporate Services at Carmarthenshire County Council (Host Authority for the WPP):
“Alternative asset classes have historically been challenging to access in a cost-effective manner. Pooling offers the opportunity to address this challenge. The WPP’s constituent funds have increasing strategic demand for these investments, and we look forward to working with our newly appointed partners to meet this demand.”
WPP wins the Pool of the Year Award at LAPF Investments Awards 2021
We are thrilled and honoured to announce that we were successful in winning Pool of the Year at the LAPF Investment Awards 2021, which took place in London on 29 March 2022.
We would like to thank all the 8 LGPS funds in Wales and our external providers for their continued support, our stakeholders and all involved in managing and providing an exceptional service to the WPP.
Signatory to the UK Stewardship Code
We are delighted to announce that the Wales Pension Partnership (WPP) is now a signatory to the UK Stewardship Code.
The 2020 UK Stewardship Code sets a high bar for stewardship, a standard to which the WPP sought to meet through its approach to responsible investment. The WPP is therefore delighted to be recognised as a signatory to the Code.
Our report for the year ending 31 March 2021 covered the first step on WPP’s journey, a year when we put in place solid foundations through our appointment of Robeco as a stewardship provider, the establishment of our Responsible Investment Sub-Group and began the process of ensuring that our policy commitments were implemented. We also worked closely with Link Fund Solutions and Russell Investments during the year to develop and implement an innovative decarbonisation strategy for our Global Opportunities Fund, a process that we have since sought to extend to our other Sub-Funds.
We recognise that there is much more to do but we remain committed to building our understanding of responsible investment practices and evolving our approach. We learned much from the reporting process and have already taken steps to implement some of those learnings, for example, through increasing the scrutiny of our providers and the assets they manage for us. We do this recognising that the WPP has a responsibility to all eight Constituent Authorities within Wales, and the members of their pension schemes, to be effective stewards of their assets.