Devils Advocates Panel – Morning Session
Fraser Smart, Chief Executive Officer, BA Pensions
Pam Taylor, Group Pension Manager UK & Ireland, BASF

08:45 – 08:55
Welcome & Opening Remarks
Stephen Glover
Programme Director
DB Strategic Investment Forum

08:55 – 09:20
Presentation: The Investment Outlook for the Defined Benefit Sector

Speakers
Magnus Spence
Managing Director – Global Distribution Solutions
Broadridge Financial Solutions

Jonathan Libre
Principal – EMEA Insights
Broadridge Financial Solutions

Broadridge will present key data and analysis from their comprehensive annual report on investment trends in the DB pensions sector. There will be particular emphasis on key developments and opportunities in the following areas:

  • Fiduciary management: how has the market evolved post-CMA, will there be a flurry of activity in re-tendering mandates, and if so, who will be the winners and losers?
  • ESG: With the new regulations, what does best practice look like in terms of integration? How are managers responding in terms of product development?
  • Multi-asset: It is a difficult environment for DGFs, but are there any still winning? What are the characteristics of those that continue to do well?
  • Multi-sector fixed income: The multi-sector fixed income universe comprises multi-asset credit, diversified fixed income, and absolute return fixed income, with many strategies seeming to span multiple categories. What are the characteristics of the strategies that are in demand, and how are they being used by schemes?
  • Specialist fixed income: Structured Finance has proven popular recently, recovering from the reputational damage suffered during the financial crisis. What are the characteristics of the strategies that have done well, and how are they being used by schemes?
  • Alternatives: Managers are launching new vehicles to facilitate access to smaller schemes, but what has been the take-up so far?
  • End-game solutions: how can asset managers work with schemes to facilitate their transition to the endgame, be that buy-out, or in the design of self-sufficient run-off portfolios?
  • Consolidation: what are the prospects for the private-sector consolidators? what lessons can be learned from the LGPS?
  • Fees: fees will be a key area of focus in this year’s report. The US has seen zero-fee mandates; what are the implications for the UK market?

09:20 – 10:00
Panel: What Is the True Funding Position for DB Schemes?

Speaker
Speaker to be announced
Hymans Robertson

Opinions vary on the most accurate way to value a DB fund. Any significant variation in methodology can have momentous implications for the sustainability of the scheme and its endgame strategy, not to mention the allocation of investments.

10:00 – 10:20
Presentation: The Economic State of the World

Speakers
Speaker to be announced
T. Rowe Price

An expert update on the current state of the world economy, the outlook for the main asset classes and the implications for the investment of DB schemes.

10:20 – 10:50
Coffee Break

10:50 – 11:10
Case Study: The Evolution of Best Practice Governance at the Lloyds Bank DB Scheme

Speaker
Ian McKinlay
Chief Investment Officer
Lloyds Banking Group Pension Schemes

Our speaker will present how governance structures at the Lloyds DB plan have evolved in order to better deliver the overall objectives of the fund. He will explore the key decisions taken and discuss the crucial link between good governance and superior investment performance. In particular, he will discuss the following:

  • How LBG brought five large schemes for £50bn under one common trustee
  • How investment governance was transformed to a fully ‘delegated CIO’ model
  • What the business case looked like, and what the outcomes have been

11:10 – 11:30
Roundtable Discussions: Optimal Governance Arrangements

11:30 – 11:50
Presentation: To be advised

11:50 – 12:30
Panel: Key Developments in Fiduciary Management

The UK Fiduciary Management market has been growing at around 30% per annum since 2007. It is currently worth around £150 billion with over 800 mandates in place. Our panel will debate the implications of this strong growth and the pros and cons of adopting FM for DB schemes.

12:30 – 12:50
Presentation: Factor Investing Efficiencies

Speaker
Speaker to be announced
Quoniam Asset Management

12:50 – 13:50
Lunch

Devils Advocates Panel – Afternoon Session
Mark Thompson, Chief Investment Officer, London CIV

13:50 – 14:10
Presentation: The Outlook for Emerging Markets

Speaker
Regina Chi
Portfolio Manager
AGF Investments

An analysis of the prospects for emerging markets over the medium term, and the role they should play in DB investment allocations.

14:10 – 14:30
Presentation: To be advised

Speaker
Speaker to be announced
AllianceBernstein

14.30 – 15.10
Panel: The Merits of Property Investments

Speaker
John Humberstone
Partner
Orchard Street Investment Management

Further speakers to be announced

An expert panel will discuss how property investments may bring enhanced return and stable cash flows to a DB scheme portfolio.

15.10 – 15.30
Presentation: To be advised

Speaker
Speaker to be announced
Fiera Capital

15.30 – 15.50
Presentation: To be advised

Speaker
Speaker to be announced
BNY Mellon

15:50 – 16:20
Coffee Break

16.20 – 16.40
Session to be advised

16.40 – 17.20
Panel: To be advised

17.20 – 17.25
Closing Remarks

17.25 – 19.00
Drinks Reception

19.00 – 22.00
Dinner at Gillray’s Steakhouse