I am co-CEO of Redington, we advise 10 of the top 25 pension funds in the UK and we are building Redington into a global force in the pensions industry. Our objective is to ensure the next generation can continue to be better off than the last.
On Friday 27th July 2012 the London Olympics inspired the world. Athletes in Team GB, such as, Jessica Ennis, Mo Farrah, and Andy Murray demonstrated to the world the ability to win gold medals and achieve incredible goals. What is the common thread of high performance that these and all other olympic athletes demonstrate? Can we learn from them and apply them to solve the global pensions challenge? I have identified 3, the importance of mindset, skill set and toolset:
Pension funds face an eternally difficult process of setting goals and then making sure they reach them. It doesn’t sound complicated, but it is.
Pensions has always been a tricky business. But perhaps never more so than in 2013. The regulation changes of the early 2000’s rewrote the rulebook for those running pension funds, and a survey of the key challenges of that time would have produced, it seems logical to assume, a set of concerns about changing regulations, accounting issues that accompany them, and governance. Today, the landscape has changed. Pension funds, on the whole, got to grips with those systemic changes in pension infrastructure only to be faced, in 2008 onwards, with the greatest seismic economic shift of our lifetimes. It wasn’t just that markets plummeted and equities didn’t turn out to be the knight in shining armour pension funds had hoped and planned they would be; it was that the very foundations of modern economic markets changed. Everything we thought we knew about risk, return and the relationship between the two, was called into question. Now, in 2013, we are all still acclimatising to our new normal.