Investment governance

Real governance needs to be transparent so you can see what action we've taken and why. This should give you and your clients peace of mind that we're looking after their investments.

View our easy to read summaries which detail the key outcomes or our full in-depth minutes from the Investment Advisory Committee (IAC) meetings held within the last year.

Details of previous IAC meetings can be found on the governance meeting updates archive.

30 August 2016 - Governance meeting update

Highlights:

  • New strategic asset allocations introduced for the Governed Portfolios on 30 June 2016. There have been three tactical changes since the last meeting on 14 June 2016.
  • Within the Governed Portfolios, we have reduced the exposure to index linked bonds and government bonds and used the proceeds to increase exposure to equities and commodities. Within the GRIPs, we have reduced the exposure to index linked bonds and used the proceeds to top up the overweight position in equities.
  • We expect a modest upturn in global economic growth in 2016 and 2017 with limited impact from ‘Brexit’.  We expect the Federal Reserve to again raise rates again in late 2016 though rises should be very gradual.  
14 June 2016 - Governance meeting update

Highlights:

  • Three tactical asset allocation changes were made since the last meeting on 3 March 2016. Overweight positions were maintained in equities, high yield, gilts and absolute return strategies (including cash). We continue to adopt underweight positions in corporate bonds and index linked and remain neutral on property.
  • All nine Governed Portfolios continue to be within their projected target risk ranges. All five GRIPs are within their short term measures with four within the long term ranges.
  • Significant market volatility triggered by outcome of EU referendum post-meeting.
3 March 2016 - Governance meeting update

Highlights:

  • Three tactical asset allocation changes made during the period – Overweight in equity, absolute return strategies (including cash) and high yield bonds and underweight in corporate bonds and index-linked bonds. 
  • Work is ongoing to implement additional strategies within the portfolios.
  • Market volatility remained throughout remainder of 2015 and into early 2016. Economic data remains mixed causing unsettled investor sentiment.
1 December 2015 - Governance meeting update

Highlights:

  • Three minor tactical asset allocation changes made during the period – Continue to be overweight in equities, high yield bonds and conventional gilts. Neutral property and underweight in index linked gilts and corporate bonds.
  • Work is ongoing to review the strategic asset allocation and research whether additional asset classes could add value to the existing portfolios.
  • Markets witnessed large bouts of volatility, particularly during the China sell off at end of August. Recovery witnessed since then but volatility has remained high.
Last updated: 15 Sep 2016

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