The CEO of London CIV has observed the reality of addressing greater pooling, as well as other issues related to the pool, despite a new government coming into power.
At London CIV’s annual conference in early September, Dean Bowden said that while pooling within the capital has accelerated during the past year – 18% year-on-year as of the end of March – and £86m in savings has been generated since the pool’s inception, “we are not the finished article,” Bowden admitted.
He then added: “With the government’s March 2025 pooling deadline still standing, if we can further act as an LGPS community, there is an opportunity to show we can deliver to expectations.”
Bowden highlighted to delegates the inevitable direction of travel for pooling, regardless of the general election result, with London’s LGPS community already “taking the initiative” to address this, as well as other challenges.
Bowden noted that London CIV, along with its partner funds, has developed a strategy that recognises their individual fiduciary responsibility, idiosyncrasies and value.
But the pool is also considering how it can work more as a “London LGPS community”, which, Bowden said, amounts to “acting with greater homogeneity to drive efficiencies and improve outcomes”.
Bowden added: “This strategy is aligned to what we believe to be government-desired outcomes.”
He cited key areas being worked on including the transition of liquid assets to London CIV, greater functionality and capability within the pool to remove more “inefficiencies”, increase the visibility on existing and planned UK investments, while developing further solutions to do more in this area.
Bowden stressed that any of these “enhanced services” must though be a choice offering.
“They cannot be compelled upon partner funds,” he said. “Someone willingly working with you is worth five times that to those who are forced to. I have been clear since I started that there must always be choice.”
Bowden then added: “Therefore, what we produce must be compelling and offer true value. This should be true of everything we do as London’s LGPS community.”
Bowden added that much of the capability to deliver new services already exist within the London LGPS community, highlighting London CIV’s appointment in June of chief proposition officer Andrien Meyers, who is the head of investment at two local authority pension schemes: Sutton and Kingston upon Thames.
On the challenges facing London CIV and the London LGPS community, Meyers said: “There are 32 local authorities in London and each one has a different set of needs. But the more we act in the manner of a homogenous entity and operate as a collegiate community across London, the more we can deliver a clear message that we are already doing what is required.”
Meyers concluded: “Any future strategy cannot just focus on the pooling of LGPS assets, rather it’s about working together to improve the management of all aspects of the London LGPS.”
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