Schroders Solutions chosen as OCIO for £10 billion Centrica pension schemes

6 April 2022

Schroders Solutions is today announcing that it has been chosen by the trustees of Centrica’s pension schemes as the outsourced chief investment officer (OCIO) for their £10 billion assets. Centrica plc is a leading energy service and solutions business in the UK.

Schroders Solutions is today announcing that it has been chosen by the trustees of Centrica’s pension schemes as the outsourced chief investment officer (OCIO) for their £10 billion assets. Centrica plc is a leading energy service and solutions business in the UK.

The Centrica pension schemes’ assets will be managed in an open architecture framework, supported by extensive asset management and investment solutions capabilities, and benefiting from Schroders’ leading sustainability expertise. As OCIO, Schroders Solutions will assist the trustees on developing the schemes’ investment strategy, construct the overall portfolio as well as manage and oversee third party managers. In addition, Schroders Solutions will support the trustees in meeting the schemes’ regulatory requirements.

As part of the mandate appointment, the team of seven Centrica in-house investment specialists led by Chief Investment Officer, Chetan Ghosh, will join Schroders Solutions, giving the team closer access to a far greater resource and knowledge base. The move also reduces key man risk while ensuring continuity of service to the trustees. The appointment is planned to be effective during Q2 2022.

James Rainbow, Head of UK Distribution, Schroders commented:

“Schroders has the capabilities and resources to help defined benefit and defined contribution pension schemes, both large and small, address the challenges of delivering value and sustainable performance outcomes to their members. We are really pleased to have the opportunity to partner with Centrica and grateful for the trust that has been placed in us under the schemes’ new outsourced approach.

Allan Whalley, Chair of Trustees, commented:

“After a thorough selection process, supported by Isio’s investment team, we are very pleased to announce that we are partnering with Schroders Solutions under an OCIO model to take forward our investment strategy and deliver security for the members of the three Centrica pension schemes.”

Neil Walton, Head of OCIO and Specialist Situations, Schroders Solutions commented:

“I am looking forward to welcoming Chetan Ghosh and his team into Schroders Solutions and working together to deliver a fully tailored OCIO service to the Centrica pension schemes.

“This appointment reaffirms Schroders Solutions’ aim of being the provider of choice for OCIO and fiduciary management services by offering an end-to-end solution through to buy-out with a specific focus on robust portfolio construction, sustainability and bespoke service and reporting.”

Source: Schroders