Issue - meetings

This report provides an overview of considerations for moving towards the target infrastructure allocation of 15% of total Fund assets.

Sawan Shah introduced the report from the Corporate Director Finance & Resources which provided an initial overview of considerations for moving towards the target infrastructure allocation of 15% of total Fund assets.

The Board was advised that the report had been presented to outline available pathways which (due to its commercially sensitive nature) had been presented to the Brent Pension Fund Sub Committee on 19 February 2025 as an exempt Appendix to the report by Hymans Roberston in the closed private session of their meeting.  The analysis of options presented to the Sub Committee relating to implementation of the Pension Funds infrastructure allocation had included potential pathways in seeking to develop investment options in order to meet the long-term target alongside the objectives and potential return and risk profiles identified based on current infrastructure assets and range of other Funds available for consideration.

In recognising the wider Environmental, Social, and Governance (ESG) considerations that would need to be taken into account in seeking to develop the Fund’s Infrastructure allocation and increasing investment opportunities available in relation to areas such as renewable energy alongside more traditional forms of infrastructure. The Board NOTED the strategic outline provided in relation to the different pathways for increasing the infrastructure allocation, including how ESG and local investment could be incorporated, timelines, and alternative Funds which members were advised the Brent Pension Fund Sub Committee had agreed to keep under review as part of progress in developing the allocation.

This report provides an overview of considerations for moving towards the target infrastructure allocation of 15% of total Fund assets.

Sawan Shah (Head of Finance) introduced a report from the Corporate Director Finance & Resources which provided an initial overview of considerations for moving towards the target infrastructure allocation of 15% of total Fund assets.

Members were advised that the report had been presented to outline the available pathways which (due to their commercially sensitive nature) were due to be presented (as an exempt Appendix to the report) by Hymans Roberston in the closed private session of the meeting (Minute 16 below refers) prior to any final decision being sought by the Sub Committee on the way forward.

As initial context members were advised that the approach outlined had been designed to support the move towards the long-term strategic asset allocation of 15% to infrastructure assets as part of the most recent Investment Strategy review.

Having noted that the more detailed consideration of options would need to be undertaken in the closed part of the meeting the Sub Committee RESOLVED to note the initial context and background provided as a basis for further consideration of the option analysis due to be undertaken following the exclusion of the press and public during the closed session of the meeting.