London Borough of Islington Pension Fund hired Standard Life Investments to run up to £150 million ($247 million) in passive fixed income, pending contract negotiations, according to Joana Marfoh, head of treasury and pension fund management at the £560 million fund.
The strategy will focus on U.K. government and corporate bonds, but Standard Life will have some discretion in investing in overseas bonds, high-yield bonds and emerging markets debt.
Funding will come from an existing active fixed-income portfolio equally split between UBS Global Asset Management and Insight Investment, Ms. Marfoh said. She declined to give further details. Mercer advised.
