National Grid U.K. Pension Scheme, Binfield, England, hired Russell Investments as outsourced investment manager, the pension fund said Monday in a news release.
National Grid U.K. Pension Scheme has £13 billion ($17.6 billion) in assets. The appointment followed a competitive tender process. Russell was selected to increase efficiencies and maintain a strong funding position, the news release said.
"As the scheme continues to mature, Russell Investments will support continued derisking and 'end game' positioning, including potential further insurance buy-in transactions," the release said.
Russell spokesman Matt Rogers said it is the pension fund's first time using an outsourced investment provider, and about three-quarters of the pension fund's portfolio will continue to be managed by Legal & General Investment Management. The pension fund's previous in-house asset management arm, Aerion Fund Management, was sold to LGIM in 2015, Mr. Rogers said in an email.
The pension fund completed two $1 billion-plus buyouts in 2019 and 2020.
The partnership will also enhance the pension fund's governance practices and help it meet regulatory demands, particularly new Taskforce on Climate-Related Financial Disclosure requirements, the release said.
Pension fund officials were not available to provide further information.
