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Pensions Expert Print and Online
Media Pack 2020
Pensions Expert Print and Online Media Pack 2020 - FT ...
Pensions Expert About

Pensions Expert
Informing scheme decisions
                                                  Magazine
                                                  Circulation   7,984
                                                                    *

Pensions Expert is the leading provider of
essential content for pensions professionals,
with a diverse portfolio of products to suit
readers’ information needs. The monthly
magazine provides in-depth analysis, case
studies and special reports with
pensions-expert.com providing all of the daily
news from around the industry.

We aim to:

• Provide relevant and insightful case studies
  with comment and analysis
• Offer practical guides to the latest
  regulatory changes and detail how they are
  being managed
• Present and interpret the latest investment
  and administrative data

* (2018 - 2019) ABC audited
Pensions Expert Print and Online Media Pack 2020 - FT ...
Pensions ExpertAudience

Pensions Expert Audience

                                                    FTSE 100
Pensions Expert takes you to the key decision
makers within the UK workplace pensions industry.
By going out to plan sponsors of the country’s
                                                    Top 50
leading schemes we take you to the heart of the     schemes
pensions debate. We reach:

80% of FTSE 100 schemes                             Top 100
                                                    schemes
93% of the UK’s top 100 schemes
88% of the top 300 schemes                          Top 200

88 of the country’s 89 LGPS                         schemes

                                                    Top 300
                                                    schemes

                                                    LGPS

                                                               0   20   40   60   80   100
Pensions Expert Print and Online Media Pack 2020 - FT ...
Pensions Expert Audience

Pensions Expert Audience

What is the total value of pension funds                               Avg. defined pension contribution:                        Avg. defined pension benefit:
that you have responsibility for?                                      £137million                                               £335million

Which of the following subjects are you most interested in reading about in Pensions Expert?

                DB                                                            60%                                                                                     29%                            7%          2        2

  Law & regulation                                                 51%                                                                                   33%                                   12%               3        2

        Governance                                        42%                                                                              34%                                   15%                      7%              2

        Investment                                       38%                                                                                     48%                                             10%             3        1

           Case law                                     36%                                                                          41%                                         14%                   5%            4%

             DC/AE                                      36%                                                                      38%                                             20%                           4%         2

              Policy                              31%                                                                            49%                                                   13%                  5%        2

               ESG                          20%                                           32%                                                          28%                             14%                       6%

   Lifetime savings                   13%                                           40%                                                                25%                             17%                           4%

                              Very interested           Somewhat interested                     Neither interested or uninterested                       Somewhat uninterested               Very uninterested

Source: Pensions Expert Survey 2018
Pensions Expert Print and Online Media Pack 2020 - FT ...
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Pension Expert Editorial Synopsis                News analysis                                           Scheme news roundup
Pensions Expert has always been differentiated   Deeper analysis of the most important news              A digest of shorter news pieces rounding
by the depth of its analysis, but the shift to   stories, and their broader implications for             up the month’s can’t miss stories.
a larger monthly book will allow even deeper     pension schemes.
analysis of the big issues affecting pension
schemes to offer trustees even more useful                                                               Cover feature
insight to make better scheme decisions.         Comment
                                                                                                         PE’s new monthly format will allow the editorial
A new premium design will match its              • Editorial: An introduction from PE’s editor   team to explore many of the bigger picture
sophisticated agenda- leading content, with                                                              issues affecting the pensions industry
                                                 • Lead comment: Regular thoughts from a
a more visual style building on the existing                                                             and retirement.
                                                           major figure within the pensions industry
infographic approach.
                                                 • Regulatory and policy comment:
                                                           Views from regulatory experts, at the
                                                                                                         Roundtables
                                                           Financial Conduct Authority and the
                                                                                                         Sponsored features bringing together scheme
                                                           Pensions Regulator, for example, as well as
                                                                                                         trustees and other industry experts to discuss
                                                           comments from government ministers on
                                                                                                         key themes, with a newly introduced premium
                                                           latest policy updates
                                                                                                         design and more narrative-led editorial style
                                                 • Industry comment: Leading pensions              (see schedule).
                                                         industry figures including consultants and
                                                         professional trustees discuss key themes
                                                         around policy and practice
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Scheme Management Case Studies                            Data Spotlight                                           Global spotlight
Pensions Expert is best known for its case                A look at interesting 3rd party and proprietary          A look at what’s going on with pensions
studies, which delve into the detail of managing          FT data sets to deliver insights to support trus-        schemes around the world, identifying further
pension schemes to offer industry insight with            tee decision-making through visualisation and            examples of best practice to inform UK trustees
the trustees reading PE. Case studies will be             cutting edge data journalism:                            and policymakers.
split into the following sections:
                                                          • Data Crunch: as per the current feature,
• Investment: How trustees are selecting                    insights from the best 3rd party data          People/Noticeboard
          investment providers, determining asset
          allocations, and managing decisions around      • Mandatewire data: a look statistical insight   The latest people moves from the pensions
          active vs passive/factor investing.                       gleaned from trustees via PE’s sister title,   industry, as well as key pensions dates and
                                                                    MandateWire                                    the latest industry trustee events in
• Administration: How trustees are dealing                                                                 conjunction with the Pensions and Lifetime
          with the day-to-day management of schemes,                                                               Savings Association.
          including communications, online platforms,
          transfers etc.

• Regulation/governance: How schemes
          are managing the ever-changing regulation
          affecting pensions, keeping up to date with
          the latest legal precedent, and ensuring best
          practice for the governance of schemes.

• DC Spotlight: A specific look at the
        increasingly-important world of defined
        contribution pensions.
Pensions Expert Print and Online Media Pack 2020 - FT ...
Pensions Expert Briefings

Sole Sponsored Round Tables                                                   Suggested topics:
Pensions Expert Sole Sponsored Round Tables are a powerful tool               Month               Topic
to position your brand as a thought leader on any given topic.
                                                                              February            Defined benefit - bulk annuties/consolidation
Similar to our Executive Round Tables, Pensions Expert will recruit leading   March               Fixed income
industry figures to take part in a debate about a theme of your choosing                          DC Debate Q1
(in consultation with Pensions Expert).                                       April               Equities
                                                                              May                 Fiduciary management
However, this will be an on-the-record discussion and will be used            June                DC Debate Q2
to create an in-depth feature in Pensions Expert, carrying your branding,                         Emerging markets
and accompanied by a full page advertisement.                                 July                ESG
                                                                              August              Alternatives
Price - £18,000                                                               September           DC Debate Q3
                                                                                                  Administration
                                                                              October             Defined benefit - actuarial/
                                                                                                  funding/covenant
                                                                              November            DC Debate Q4
                                                                                                  Smart beta
                                                                              December            LDI and DB investment
Pensions Expert Advertising Options - Online

Sponsored Features                                                                                                                                                                                                                                                                                                     Suggested topics:
Pensions Expert ‘Sponsored Features’ are in depth, technical articles                                                                                                                                                                                                                                                  Month               Topic
focusing on core investment, governance and administrative themes related
to UK pensions schemes and their members. They offer our advertising                                                                                                                                                                                                                                                   February            Defined benefit
partners a prime opportunity to position their brand and ‘own’ the editorial                                                                                                                                                                                                                                           March               Alternatives
themes directly related to the brands core themes.                                                                                                                                                                                                                                                                     April               Emerging markets
                                                                                                                                                                                                                                                                                                                       May                 Administration
Sponsored features run over a double page spread in the magazine with                                                                                                                                                                                                                                                  June                DC
1.5 pages of editorial and either a half page comment piece or advert from                                                                                                                                                                                                                                             July                LDI and DB investment
an advertising partner.
                                                                                                                                                                                                                                                                                                                       August              Smart beta
                                                                                                                                                                                                                                                                                                                       September           DC
                                                                                                                                                                                                                                                                                                                       October             Fixed income
   12 Pensions Expert 12.02.2018                                                                                                                                                                                                                                                 12.02.2018 Pensions Expert 13
                                                                                                                                                                                                                                                                                                                       November            Fiduciary management
   Feature Communications
                                                                                                                                                                                                                                                                                                                                           ESG
                                                                                                                                                                                                                                                                                                 In association with

   Breaking the habit: Can life                                                                                                                                                                                                                                                                                        December            Defined benefit
                                                                                                                                                                                           “It’s at that stage that the        adjusted to the needs and habits           Create ‘a big red button’
                                                                                                                                                                                        appropriate information will           of different scheme populations.           Karen Partridge, head of client
                                                                                                                                                As people get                           flash up on the screen. It needs to       But he echoes Silcock’s views           services UK and Australia at
                                                                                                                                                older they are                          be simple, accessible, timely,” says   on using the power of social               communications specialists

   events make people more
                                                                                                                                                                                        Wagstaff.                              norms, citing peers as big                 AHC, says she thinks people can
                                                                                                                                                more inclined to                           But while he believes               influencers, particularly for              be influenced if spoken to at the
                                                                                                                                                take decisions                          behavioural interventions can          young people.                              right time.
                                                                                                                                                                                        work well in the accumulation             “They’re not going to do it in             However, not all schemes or

   engaged with pensions?
                                                                                                                                                based on gut feel                       phase, this approach is less           isolation. They’re much more               even employers have sufficient
                                                                                                                                                Chris Wagstaff                          promising for decumulation             likely to do it if they discuss it at      data to indicate that a life
                                                                                                                                                Columbia Threadneedle                   decisions.                             the company, talk about it at the          change is happening for a
                                                                                                                                                Investments                                “As people get older they are       workplace,” says McPherson.                member.
                                                                                                                                                                                        more inclined to take decisions           Giles Payne, a client director             And even where it is available

   There is growing support for using life events                                                                                                                                       based on gut feel,” he says. “They
                                                                                                                                                                                        tend not to take advice very well,
                                                                                                                                                                                                                               at Capital Cranfield, says one of
                                                                                                                                                                                                                               his schemes is looking at video
                                                                                                                                                                                                                                                                          “it’s not always easy to define
                                                                                                                                                                                                                                                                          appropriate intervention points,

   to teach people about pensions, but humans                                                                                                                                           and tend to shy away from
                                                                                                                                                                                        technologies.”
                                                                                                                                                                                                                               benefit statements. Another has
                                                                                                                                                                                                                               chosen to use regular bullet
                                                                                                                                                                                                                                                                          because it’s more about people’s
                                                                                                                                                                                                                                                                          point of realisation”, says

   could be even more stubborn than we thought                                                                                                                                          So what should you do?
                                                                                                                                                                                        With little evidence of the impact
                                                                                                                                                                                                                               point information, the idea
                                                                                                                                                                                                                               being that if members are given
                                                                                                                                                                                                                               “a number of bite-sized snippets
                                                                                                                                                                                                                                                                          Partridge.
                                                                                                                                                                                                                                                                             The key to reaching people is
                                                                                                                                                                                                                                                                          making it easy to follow up with
                                                                                                                                                                                        of using life events to impart         on a regular basis it becomes less         action.
                                                                                                                                                                                        pensions nudges, what can those        worrying”.                                    “You can get their attention,
   By Sandra Wolf                          for example when a child arrives.       without support, the outcome can                                                                     working for schemes do to                 A third approach is the                 but for them to take action you
   Would you be interested in              Other events, including marriage,       be bad.”                                                                                             improve saving levels?                 creation of focus groups, whose            have to make it easy,” she says.
   reading about your pension if you       were simply not associated with            The PPI’s policy input was         It’s very trendy                                                  Neil McPherson, managing            members influence the                         For example, she adds,
   had just started a new job? What
   if you had just got married – or
                                           thinking about future finances.
                                             “To make the next step towards
                                                                                   taken on board by the Pensions
                                                                                   and Lifetime Savings Association,
                                                                                                                         right now to                                                   director of professional trustee
                                                                                                                                                                                        company Capital Cranfield, says
                                                                                                                                                                                                                               workforce and spread the news,
                                                                                                                                                                                                                               and can give information when
                                                                                                                                                                                                                                                                          members could be given a
                                                                                                                                                                                                                                                                          simple way to trigger a process
   divorced?                               successfully using life events for      which in its ‘Hitting the Target’     think we can                                                   for reaching scheme members it         asked about pensions. This                 whereby they increase their
      Engagement is still a major
   stumbling block in pension
                                           pension communication, more
                                           research is required,” the paper
                                                                                   consultation asked the industry
                                                                                   to identify the most effective
                                                                                                                         fix everything                                                 is not just timing that matters;
                                                                                                                                                                                        the medium also has to be
                                                                                                                                                                                                                               approach, used at factory sites, is
                                                                                                                                                                                                                               the most successful, finds Payne.
                                                                                                                                                                                                                                                                          pension contributions with the
                                                                                                                                                                                                                                                                          next pay rise.
   saving, but in July last year, a        concludes.                              ‘teachable moments’.                  with behavioural
   concept long known to                                                              Still, its EU, engagement and      intervention            Comment Pensions engagement
   psychologists entered the                Behavioural intervention               regulation policy lead James
   pensions sphere. The Pensions           ‘useful but not a panacea’              Walsh finds it is early days to say   Daniela Silcock, PPI
   Policy Institute published a             While the jury is still out on the     with confidence that the
   report that looked at the idea that      merits of using life events for        teachable moments theory works.                               Matthew Blakstad
   people could be more receptive           upping engagement, most seem              He suggests people should be
   to teaching during big life              to agree that there is room for        subject to a regular financial
                                                                                                                                                 Is the key to
                                                                                                                                                                                        moment’. To find out more, we          cases more frequently than the             schemes often do not know much
   changes.                                 improvement.                           review, which could be linked to                                                                     worked with Maastricht University      engaged savers.                            more than a saver’s date of birth,
      These include starting                   PPI head of policy research         changes in their circumstances.
   university or a first job, buying a      Daniela Silcock says pensions                                                                        engagement                             to carry out a series of in-depth
                                                                                                                                                                                        interviews with industry experts
                                                                                                                                                                                                                                   So why did certain life events
                                                                                                                                                                                                                               supposedly trigger engagement
                                                                                                                                                                                                                                                                          address and income. And some
                                                                                                                                                                                                                                                                          life events, like marriage, divorce
   house, or getting married. Young
   adults are most likely to
                                            communication is still quite
                                            basic.
                                                                                   Marked down for comms
                                                                                   The teachable moments idea can                                life events?                           and pension savers, as well as an
                                                                                                                                                                                        online questionnaire completed by
                                                                                                                                                                                        Nest members.
                                                                                                                                                                                                                               from some savers but not others?
                                                                                                                                                                                                                               It could be that there is another
                                                                                                                                                                                                                               variable at play. The two research
                                                                                                                                                                                                                                                                          and childbirth, are harder to
                                                                                                                                                                                                                                                                          identify or can only be detected
                                                                                                                                                                                                                                                                          after the event has taken place.
   experience such moments, the                “If you look at reality, a lot of   work, says Chris Wagstaff, head
                                                                                                                                                 Imagine you have just bought a             So what did we find? Engaged       groups differed by age and gender,         In these circumstances,‘big data’
   paper said.                              communication is based on letter       of pensions and investment                                                                           savers confirmed that certain          so it could be that one of these           could provide a solution. But
                                                                                                                                                 house. It is an event that makes us
      More recently, mastertrust            writing, and that’s difficult to do    education at Columbia                                         all think about our finances. How      life events had made them think        characteristics impacted the               would savers be appreciative of
   Nest, Maastricht University and          in a way that reaches a lot of         Threadneedle Investments, but                                 much will our monthly mortgage         more about the future and their        effect of the life event.                  a tailored communication during
   Dutch thinktank Netspar                  people,” she notes.                    stresses that timing needs to be                              repayments be? How much will           finances, and in some cases had            The effect of any life event can       their life event or concerned that
   conducted a survey on the topic.            While she highlights the power      spot on. Humans are creatures of                              that leave us for other expenses?      prompted them to increase their        be complex. They can increase              ‘big brother’ is watching them?
   However, the report authors              of social norms, and how these         habit, he notes.                                              With finances at the front of our      pension contributions or switch        mental and emotional load and                  Do life events hold the key to
                                                                                                                                                 minds, would a letter about our        funds. In particular, starting a new   encourage short-term focus on              pension engagement? We need to
   found the responses on whether           can be used to nudge people into          “The evidence is that it’s very
                                                                                                                                                 pension make us stop and act           job, becoming a parent and buying      urgent needs rather than on long-          look more closely at their impact,
   life events make people think            certain behaviours, she also           difficult… to teach people later in                           now? Or would the many extra           a house were said to have had the      term planning and pensions.                the reactions they trigger and their
   about their finances are mixed.          stresses the limits of nudge           life what are quite deeply                                    tasks involved with moving house       strongest effect.                          On a practical level, if life events   relation to pension and long-term
   They stress that several hurdles         theory.                                ingrained behaviours,” he says.                               leave us with very little spare time       These were encouraging             do make us more receptive, how             planning behaviours. While this
   need to be overcome to use such             “It’s very trendy right now to         The only way to make them                                  to think about a long-term goal        findings, but as we dug deeper         could pension providers use                research suggests there may well
   events for pensions                      think we can fix everything with       rethink their usual behaviour is if                           over a short-term priority?            we found reasons to doubt them.        these ‘teachable moments’ to               be a link, this new evidence is one
                                                                                                                                                    Researchers have identified a       When we conducted the same             engage savers? One of the main             more piece of a larger puzzle.
   communications.                          behavioural intervention,” she         they are given information at
                                                                                                                                                 number of life events that could       research with a group of passive       challenges would be detecting the
      In fact, in some cases life events    says, but: “It’s important to          precisely the right moment. He                                                                       savers, the findings revealed that     life event with enough accuracy
                                                                                                                                                 create a range of reasons to think
   could even have a negative effect        understand that they are a useful      says this is best done online,                                about our finances and the future,     they had also experienced the          to effectively time the delivery           Matthew Blakstad is head of
   on ‘teachability’ as the change          tool but not a panacea, and can be     through decision trees or similar                             and in turn lead to a ‘teachable       same life events and in some           of tailored communications. UK             Nest Insight research
   introduces stress to people’s lives,     dangerous. If you nudge people         tools.
Pensions Expert Debates

Virtual DC Debates                                                             16 Pensions Expert 29.05.2017

                                                                               The DC debate – Part one                                                                                                                                                           18 Pensions Expert 29.05.2017

Pensions Expert’s Virtual DC Debates offer your brand the chance to              From left to right
                                                                                                                                                                                                                                                                 The DC debate
                                                                                 Neil McPherson Managing director, Capital Cranfield

give their considered opinion on a series of questions, posed by the Editor.
                                                                                                                                                                                                                                                                 generally outperform over 10                   An ESG risk map for a typical default fund
                                                                                 John Reeve Director, Cosan Consulting                                                                                                                                           years plus. Equity investment
                                                                                                                                                                                                                                                                 in the accumulation phase is
                                                                                 Simon Chinnery Head of DC client solutions, Legal & General Investment Management
                                                                                                                                                                                                                                                                 entirely appropriate.                                                             12
                                                                                 Andy Dickson Investment director, Standard Life Investments                                                                                                                        Indeed, in the early stages of                                                                                           Human capital
                                                                                 Laurie Edmans Trustee chair,Trinity Mirror Pension Plan                                                                                                                         the member’s DC journey, the                                                                                                    Business ethics
                                                                                                                                                                                                                                                                                                                                                   10
                                                                                 Laura Myers Partner and head of DC investment, LCP                                                                                                                              risk is not taking risk. Investing                                                         Data privacy
                                                                                                                                                                                                                                                                                                                                                            and security
                                                                                                                                                                                                                                                                 too heavily in capital protection

                                                                                                                                                                                                                                                                                                                Per cent of default fund exposed
                                                                                 Alistair Byrne Head of European DC investment strategy, State Street Global Advisors                                                                                                                                                                                                                        Product safety
                                                                                                                                                                                                                                                                 strategies in the early stages                                                    8
                                                                                                                                                                                                                                                                 arguably poses more risk to

Sponsors are given six topical questions to answer, such as ‘How should
                                                                                                                                                                                                                                                                 pension wealth than an equity-            05.06.2017 Pensions Expert 13
                                                                                                                                                                                                                                                                                                                                                   6
                                                                                                                                                                                                                                                                 based approach.
                                                                                                                                                                                                                                                                                                     The DC debate                                      Community
                                                                                                                                                                                                                                                                                                                                                                    Water
                                                                                                                                                                                                                                                                                                                                                                     use
                                                                                                                                                                                                                                                                                                                                                                               Effluents and waste
                                                                                                                                                                                                                                                                                                                                                                                                                        Energy and
                                                                                                                                                                                                                                                                                                                                                                                                                         emissions
                                                                                                                                                                                                                                                Myers                                                       4
                                                                                                                                                                                                                                                                                                                                                  relations
                                                                                                                                                                                                                                                Bear markets are inevitable,                                                                                           Healthy and safety

default funds be adjusted to take into account possible market effects                                                                                      Does auto-enrolment need to be extended?                                                                                                             Physical           Healthy living
                                                                                                                                                                                                                                                and we would all love to have a                                  climate
                                                                                                                                                                                                                                                crystal ball to be able to know                             2 impacts
                                                                                                                                                                                                                                                                                                                                    Sustainable products
                                                                                                                                                                                                                                                when the next crash is coming.
                                                                                                                                                           Chinnery                                 businesses that start up from      AustraliaBut    trustees
                                                                                                                                                                                                                                                    – that           should not make
                                                                                                                                                                                                                                                               UK state                                                             Human rights
                                                                                                                                                                                                                                                                                                            0
                                                                                                                                                           We need to keep to the plan as           October 1 2017, the employer       pensions short-term         decisions; the
                                                                                                                                                                                                                                                   are not means-tested

from Brexit going forward?’.
                                                                                                                                                                                                                                                                                                              0                              5                          10                          15             20                25
                                                                                                                                                           there will always be reasons to          duty will be instant, meaning               investment
                                                                                                                                                                                                                                       when others       are. strategy should be                     My fear is                                                       Number of industries exposed
                                                                                                                                                                                                                                                set with       a long-term time
                                                                                                                                                           chop and change. Eight per cent that finally, providing pensions
                                                                                                                                                           is not going to lead to a                for employees is part of
                                                                                                                                                                                                                                          In terms
                                                                                                                                                                                                                                       extending
                                                                                                                                                                                                                                                      of coverage,
                                                                                                                                                                                                                                                horizon.
                                                                                                                                                                                                                                                     auto-enrolment to
                                                                                                                                                                                                                                                                                                     that when
                                                                                                                                                           sufficient replacement rate, but         ‘business as usual’ and many       people who   Therefore,
                                                                                                                                                                                                                                                       are ostensibly to ensure
                                                                                                                                                                                                                                                                              self- our              people begin
                                                                                                                                                                                                                                                                                                  Source: ‘ESG risk in default funds: Analysis of the UK’s DC pension market’ – PLSA/Sustainalytics

                                                                                                                                                           we need to at least get auto-
                                                                                                                                                           enrolment to that number first.
                                                                                                                                                                                                    millions more will be saving for
                                                                                                                                                                                                    retirement.
                                                                                                                                                                                                                                       employed,members
                                                                                                                                                                                                                                                     but areget
                                                                                                                                                                                                                                                retirement,
                                                                                                                                                                                                                                       employees,      feels right,
                                                                                                                                                                                                                                                                       an adequate
                                                                                                                                                                                                                                                                  really
                                                                                                                                                                                                                                                                    a significant
                                                                                                                                                                                                                                                                        but
                                                                                                                                                                                                                                                                                                     to retire and
                                                                                                                                                                                                                                                                                                Edmans                                                     conservative investment
                                                                                                                                                                                                                                                proportion
                                                                                                                                                                                                                                       compelling                  of the default
                                                                                                                                                                                                                                                       the genuinely                                 take benefits,
                                                                                                                                                                                                                                                                              self- needs If I knew when the next crash                                    strategy.
                                                                                                                                                           McPherson                                Byrne                              employed to be
                                                                                                                                                                                                                                                    is doubtful.                                     the inevitable
                                                                                                                                                                                                                                                         invested in equities. If you was coming, I would be George                                            I have seen some excellent                There is little
                                                                               Should more default funds incorporate environmental, social                 No. That lemon has been                  Yes, we need to think about how             look at long-term data, during                  Soros. Unless the relative
                                                                                                                                                                                                                                                                                                     disappointment
                                                                                                                                                                                                                                                                                                                                                           work from trustees who have                   evidence that

The answers provided by each sponsor are then published in Pensions
                                                                                                                                                           squeezed dry. Anything further           the self-employed and those        Reeve the past century UK equities                       returns of the last 100-plus                               created ‘segmented defaults’,
                                                                                                                                                                                                                                                                                                                                                                                                         the inertia
                                                                               and governance criteria?                                                    would need a mandatory system with multiple jobs that in
                                                                                                                                                           run through the state.                   aggregate exceed the earnings
                                                                                                                                                                                                                                       We need  have
                                                                                                                                                                                                                                       live in aannual
                                                                                                                                                                                                                                                         producedthat
                                                                                                                                                                                                                                                   to recognise
                                                                                                                                                                                                                                                 political   return
                                                                                                                                                                                                                                                                         an average
                                                                                                                                                                                                                                                                               we
                                                                                                                                                                                                                                                                        that is about 4
                                                                                                                                                                                                                                                                environment
                                                                                                                                                                                                                                                                                        real         at what they get
                                                                                                                                                                                                                                                                                                years change for a prolonged
                                                                                                                                                                                                                                                                                                period, it will only have been a
                                                                                                                                                                                                                                                                                                                                                           which meet the needs of
                                                                                                                                                                                                                                                                                                                                                           different populations. These                  which applies to
                                                                                                                                                                                                    threshold can be included. Both             perwill
                                                                                                                                                                                                                                       where this     centonly higher
                                                                                                                                                                                                                                                                    happenthanifgilts
                                                                                                                                                                                                                                                                                   it or             will undermine
                                                                                                                                                                                                                                                                                                mistake to be in equities if,                              can be targeted at those most
                                                                                                                                                           Myers                                                                                cashtoreturns.
                                                                                                                                                                                                    of these groups will benefit from can be sold          the voters. In the                        auto-enrolment
                                                                                                                                                                                                                                                                                                after a crash, many members                                likely to benefit from the                    getting members
                                                                               Simon Chinnery                      Neil McPherson                      the Yes,
                                                                                                                                                           investment        strategies are
                                                                                                                                                                                                                                                                                                                                                                                                         into pension
Expert and on pensions-expert.com, presented in a conversational, ‘virtual
                                                                                                                                                                 the scope of auto-                 help to save.                                   As equities are
                                                                                                                                                                                                                                       current environment                   volatile, the
                                                                                                                                                                                                                                                                       it seems                 discontinue contributions as a                             specific strategy segmented by
                                                                               Yes. The Pensions Regulator         Many schemes have                   designed     to beneeds
                                                                                                                                                                            long-term
                                                                                                                                                                                  to be and                                                                                                          forever; I hope I
                                                                               expects trustee boards to take      incorporated ESG, and ESG
                                                                                                                                                           enrolment
                                                                                                                                                       there  is building
                                                                                                                                                           broadened           evidence
                                                                                                                                                                          by phasing      outthat
                                                                                                                                                                                              the
                                                                                                                                                                                                          The reason why
                                                                                                                                                                                                       We should also consider
                                                                                                                                                                                                    whether the earnings threshold
                                                                                                                                                                                                                                       unlikelykey
                                                                                                                                                                                                                                       welcome
                                                                                                                                                                                                                                                  that
                                                                                                                                                                                                                                                time,
                                                                                                                                                                                                                                                      isvoters
                                                                                                                                                                                                                                                          to usewouldthem at the right
                                                                                                                                                                                                                                                          when a member
                                                                                                                                                                                                                                                   an extension
                                                                                                                                                                                                                                                                                                result – and in the process also
                                                                                                                                                                                                                                                                                                     am wrong
                                                                                                                                                                                                                                                                        of auto-is young, lose their employers’
                                                                                                                                                                                                                                                                                                                                                           age, pot size and even salary.
                                                                                                                                                                                                                                                                                                                                                                                                         schemes is
                                                                               account of any risks that could     principles are (or should be)       companies
                                                                                                                                                           qualifying  that  are well-run
                                                                                                                                                                         earnings     lower limit         many trustees
                                                                                                                                                                                                    – which has risen with changes     enrolmentso they
                                                                                                                                                                                                                                                     evenhave  withtimethe to benefit           contributions, tax and national
                                                                                                                                                                                                                                                                                         John Reeve, Cosan Consulting
                                                                                                                                                                                                                                                                                                                                                            Dickson                                      suspended when
                                                                               affect long-term sustainability     hardwired into the investment       andand
                                                                                                                                                            have    strongtrigger,
                                                                                                                                                                 earnings     ESG practices
                                                                                                                                                                                        so          in tax policy – is at the right
                                                                                                                                                                                                          have not
                                                                                                                                                                                                                                                fromofa ‘more
                                                                                                                                                                                                                                       expectation          potential       rebound
                                                                                                                                                                                                                                                                      tomorrow’      . in the insurance relief.                                            A key responsibility for trustees
                                                                                                                                                                                                                                                                                                                                                                                                         fund values

debate’ style. These are promoted heavily via email and advertisements.
                                                                               of their investments. If 90 per     process of most leading fund        haveultimately
                                                                                                                                                             a better all    employees
                                                                                                                                                                         chance      of are         level. But the principle of not             market
                                                                                                                                                                                                                                       With salary           cycle. limited,
                                                                                                                                                                                                                                                        increases                                  This concern led to the                                 is to regularly review default
                                                                               cent of defined contribution        management firms. There is              auto-enrolled
                                                                                                                                                       sustaining             and allsuccess
                                                                                                                                                                      long-term         earnings
                                                                                                                                                                                                          considered ESG
                                                                                                                                                                                                    enrolling those on very low        people will not welcome a                                original investment approach                               strategies to make sure they are              fluctuate
                                                                                                                                                           will qualify for pension                 earnings, whose contributions      further  Byrne
                                                                                                                                                                                                                                                deduction         from     their                at Nest, which I supported as a                            appropriate. Given equity
                                                                               assets are in a default, then       widespread confusion between        and profitability.
                                                                               trustees have a fiduciary duty of   ESG and ethical principles.
                                                                                                                                                           contributions.
                                                                                                                                                         Historically, it has been a
                                                                                                                                                                                                          is a false belief
                                                                                                                                                                                                    would be minimal and who may take-home      We canpay. be fairly certain that               trustee. There is little evidence                          valuations and the geopolitical
                                                                                                                                                                                                                                                                                                                                                                                                         Laurie Edmans,
                                                                                                                                                                                                                                                                                                                                                                                                         Trinity Mirror Pension Plan
                                                                                                                                                              Also, to ensure members get a have better current uses for the                    there     will be for another
                                                                                                                                                                                                                                                                           auto-crash at        yet, from minor perturbations                              climate, this is making this task
                                                                               care to ensure their members        They are not synonymous.            commonly
                                                                                                                                                           retirement heldthatbelief
                                                                                                                                                                                is adequate,              that it is an
                                                                                                                                                                                        that ESG money, remains a good one.
                                                                                                                                                                                                                                          We need
                                                                                                                                                                                                                                       enrolmentsome
                                                                                                                                                                                                                                                      a period
                                                                                                                                                                                                                                                      to point,     so it isand
                                                                                                                                                                                                                                                          settle down           important       in the market, that the inertia                            ever more important.
                                                                               are invested in companies that
                                                                               are best equipped to create
                                                                                                                      The perception is that ethical
                                                                                                                   funds underperform and the
                                                                                                                                                       strategies    did not
                                                                                                                                                           contribution
                                                                                                                                                       deliver  a  true
                                                                                                                                                                            ratesnecessarily
                                                                                                                                                                          financial
                                                                                                                                                           increase significantly.
                                                                                                                                                                                    need to
                                                                                                                                                                                         benefit,   Edmans
                                                                                                                                                                                                          issue for asset                       to protect
                                                                                                                                                                                                                                       for the planned
                                                                                                                                                                                                                                                when      it
                                                                                                                                                                                                                                                                 members’
                                                                                                                                                                                                                                                               increases
                                                                                                                                                                                                                                                              does
                                                                                                                                                                                                                                       work through. Once this has
                                                                                                                                                                                                                                                                              to savings
                                                                                                                                                                                                                                                                      eventually      come.
                                                                                                                                                                                                                                                                                                which applies to getting
                                                                                                                                                                                                                                                                                                members         into    pension        schemes
                                                                                                                                                                                                                                                                                                                                                               I am not going to speculate on
                                                                                                                                                                                                                                                                                                                                                           when the next crash is coming,
                                                                               resilient and long-term growth.     Cowan v Scargill case from          but the   tide is
                                                                                                                                                              Having       definitely
                                                                                                                                                                        said                              managers rather
                                                                                                                                                                              that, we should be Extension of coverage or of           happened,Equities          are thecan
                                                                                                                                                                                                                                                      and if people            main
                                                                                                                                                                                                                                                                                  see engine    is suspended when fund values                              but I think DC plans that rely
                                                                                 Employing ESG is about risk       1985 – interpreted as requiring         proudWe
                                                                                                                                                       turning.    of what
                                                                                                                                                                        are auto-enrolment
                                                                                                                                                                              seeing
                                                                                                                                                                                                          than trustees
                                                                                                                                                                                                    contribution rates requires                 of growth
                                                                                                                                                                                                                                       the benefits,     then andperhapsplay they
                                                                                                                                                                                                                                                                                an              fluctuate. And to put money                                heavily on equities in the

The Pensions Expert Virtual DC debates are published four times each           mitigation, regulatory              trustees to put performance             has achieved
                                                                                                                                                       significantly        nowschemes
                                                                                                                                                                         more     the gradual       looking at peoples’ lives                   important
                                                                                                                                                                                                                                       will be better     able to part    in DC defaults,
                                                                                                                                                                                                                                                                      accept                    into government bonds now –                                accumulation stage should
                                                                                                                                                                                                                                                butMy it isfear
                                                                                                                                                                                                                                                              important        to balance       given current interest rates –                             re-examine their approach. Any
                                                                               compliance, strong governance       above other considerations –            roll-out
                                                                                                                                                       include    ESGis coming
                                                                                                                                                                         credentials       in with holistically,
                                                                                                                                                                                   to an end,       John Reeve,   not just through
                                                                                                                                                                                                                    Cosan           a
                                                                                                                                                                                                                            Consulting increases.                 is that when
                                                                                                                                                           all those businesses with pay-as-        pensions lens.                              that with
                                                                                                                                                                                                                                       people begin             diversifying
                                                                                                                                                                                                                                                          to retire     and takeassets.         would seem fairly unwise.                                  ‘mistake’ in managing
                                                                               and sustainable returns. This is    has dampened appetite.              their manager selection process                                                              Some      schemes will have
                                                                                                                                                           you-earn schemes that existed               Most analyses of contribution benefits, the       inevitable                                                                                        investment risks will be borne
                                                                               not value destroying, as has           But ESG, done well, offers       andbefore
                                                                                                                                                            ask managers
                                                                                                                                                                    April 2012to      report                                                    exposure at     towhat
                                                                                                                                                                                                                                                                    DGFsthey   that can         Reeve                                                      by the DC member, and

year (February, May, September and November).
                                                                                                                                                                                  now    having     adequacy look only at resources    disappointment
                                                                               historically been the charge        alpha opportunities for default     regularly
                                                                                                                                                           passedon     how
                                                                                                                                                                    their      theydate.
                                                                                                                                                                           staging      are         labelled ‘pensions’ and, even      get willswitch
                                                                                                                                                                                                                                                 undermine  between auto-  asset classes,       If I knew the answer to this I                             research by Nest has shown that
                                                                               against ESG, but value              funds. ESG is a broad church,       tackling
                                                                                                                                                              Thesustainability
                                                                                                                                                                    Pensions Regulator   risks.made then, fail to acknowledge – for    enrolmentandfothers
                                                                                                                                                                                                                                                       orever;may   I hope useIvolatility
                                                                                                                                                                                                                                                                                 am             would not be here, I would be                              participants suggested they
                                                                               enhancing.                          and definitions are key to            Trustees     should
                                                                                                                                                           clear recently    thatalso    ensure
                                                                                                                                                                                    for new         example, in comparisons with       wrong. management techniques                             on a beach. The problem is that would stop contributing after
                                                                                 The funds they choose within      determining which sect to join.     they select managers with                                                                overlaid       on  the    equity   portfolio.   the  apathy       of   members          means        a     experiencing         – and noticing –
                                                                               a default should have defined       These should be clear to                 Workplace
                                                                                                                                                       strong   stewardship    DCpractices
                                                                                                                                                                                     by scheme   – members in 2016 and 2030                     Most schemes will use some                      default has to meet the needs of losses. This is not a new
                                                                                                                                                                                                                                                form of glidepath to reduce the                 a diverse population; those                                phenomenon – as Mark Twain
                                                                               ESG criteria. More can and          members through the statement       suchByas voting     at  annual
                                                                                                                                                                  2030 there could be around 7.2m members of mastertrust                                    schemes
                                                                                                                                                                                                                                                equity exposure            for members          with the time to ride out the                              said: “I am more concerned
                                                                               should be done to provide           of investment principles and        meetings.
                                                                                                                                                                                                                                                closer to retirement, where a                   rise and fall of the market, and                           about the return of my money
                                                                               clarity for trustees on             scheme communications.                On the investment manager                                                              crash can do the most damage.                   those who want a more                                      than the return on my money.”

Each sponsorship includes one full page advertisement in Pensions Expert.
                                                                               definitions and terminologies,                                          side, much is being done to                                                              Existing DC
                                                                               but active engagement with          Laura Myers                         improve the way ESG issues are                                                            schemes
                                                                                                                                                                                                                                                 2.1 million
                                                                               members and providers should        Responsible investing makes a       taken into account,
                                                                                                                                                                   Existing DCboth in
                                                                                                                                                                    schemes
                                                                               always be encouraged.               lot of sense for DC schemes, as     mainstream3.8funds
                                                                                                                                                                       millionand in new                  Mastertrust
                                                                                                                                                                                                           schemes
                                                                                                                                                                                                          4.8 million                                                       Mastertrust
                                                                                                                                                                                           2016                                                           2030                schemes
                                                                                                                                                                                                                                                                             7.2 million

                                                                                                                                                                                                                                               Other
                                                                                                                                                                                                                                          auto-enrolment
                                                                                                                                                                               Other auto-enrolment                                        DC schemes
                                                                                                                                                                                   DC schemes                                                5.4 million
                                                                                                                                                                                     4.8 million

                                                                                                                                                             Source: PPI aggregate model

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