Our Approach
In TCA We apply our investment capabilities and pooled fund solutions to help pension schemes of all sizes achieve their investment goals. This covers growth (helping improve your funding position), income (meeting your benefit payments) and protection (hedging unwanted risk).
We recognize that each pension scheme is unique. This is why we partner with our clients and their advisers to understand their objectives and deliver bespoke solutions. Wherever they are on their journey, and regardless of their destination.
As schemes approach their long-term objective, our insurance heritage, investment capabilities and responsible investing approach enable us to build and implement appropriate investment portfolios.
Endgame expertise
Navigating to your DB endgame
A sharper focus on the endgame
As DB pension schemes mature and funding levels improve, there is a sharper focus on investing for the endgame, be that an insurance company buyout, self-sufficiency, or transfer to some form of consolidation vehicle.
Meeting the evolving requirements of your investment strategy
As schemes mature and funding levels improve, many trustees are changing the focus of their investment strategy. During the accumulation phase, a typical scheme would focus on growth assets to close funding deficits alongside a liability driven investment (LDI) solution to hedge interest rate and inflation risk. As schemes mature and navigate towards their ultimate endgame, the focus is increasingly shifting to income and cashflow matching.
A different skillset is required for the endgame
A very specific skillset is required to build and implement appropriate investment portfolios to help pension schemes navigate towards their endgame. We offer expertise across fixed income, alternative sources of contractual income and liability driven investment. Our insurance heritage, extensive investment capabilities, and ESG approach makes us uniquely placed to work in partnership with pension schemes to help them achieve their goals.
Solution Management
Initial solution design
We currently offer a free solution design service to help clients and their consultants build robust investment solutions to meet their objectives. This can involve detailed solution design covering growth, income and hedging objectives, and can utilize Target Capital Assets pooled funds (including our Liability Aware fund range) and / or more bespoke segregated solutions.
Ongoing solution management
The COVID-19 crisis and market volatility following the UK’s Mini-Budget in September 2022 highlighted to many trustees and sponsors the burden of independently running DB pension schemes, particularly monitoring and managing investment strategies during volatile market conditions.
-
At Target Capital Assets, our dedicated pension solutions team can provide holistic ongoing management of a pension scheme’s investment solution. We can respond to our clients’ particular circumstances; providing support and advice around the key decisions that will remain with trustees; and also a clear and accountable process for the implementation that we have responsibility for.
-
Fiduciary Management
Outsourced Chief Investment Officer (OCIO)
TCA's Fiduciary Management offering formalizes our delivery of investment advice to UK, US, AU and CA, DB pensions schemes, building on our long-history of partnering with clients to design bespoke solutions to meet their specific challenges. As an appointed Fiduciary Manager, we can work with clients to develop strategic investment plans specific to their needs and execute using our extensive asset management capabilities.
-
TCA has been working with and managing assets for some countries in Europe, America, Australia, and Asia DB pension schemes for over 5 years, with over 1650 DB pension schemes invested across the globe today. A dedicated Fiduciary Management team sits within our wider Pension Solutions team. The team has built up a unique skillset with members having experience across both pensions consultancy and asset management including direct portfolio management responsibilities. With this blend of consultancy and asset management experience, TCA is well placed to understand the client need and build tailored fiduciary solutions.