Issue - meetings

This report provides an update on the Investment Strategy Review.

This report provides an update on the Investment Strategy Review.

(Agenda republished to include the attached report on 11 February 2026)

The Chair noted that certain aspects of this item, along with Agenda Items 7 (Investment Monitoring Report - Q4 2025) and 8 (2025 Triennial Valuation Results and Funding Strategy Statement)contained exempt information which, as required, would need to be considered in the closed session of the meeting.

Manish Shah (Senior Finance Analyst) introduced a report from the Corporate Director Finance and Resources providing final details on the review undertaken by the Pension Fund’s investment advisor, Hymans Robertson, of the Fund’s current investment strategy, following on from its 2025 valuation.  Members were advised that the purpose of the review was to evaluate the current investment strategy and analyse the ability of alternative strategies to meet the Fund’s strategic objectives. In presenting the update members were advised that following on from the 2025 triennial valuation and the October 2025 meeting, it had been established that the Sub-Committee would be adopting a new long-term investment strategy as modelled by Hymans Robertson, who had been commissioned to review and evaluate the current investment strategy and to provide final analysis and recommendations. It was noted that from this review onwards, investment setting would be the responsibility retained at Brent Pension Fund level, with investment implementation delegated accordingly.

Manish Shah then invited James Glasgow (Hymans Robertson) to provide further analysis, presenting the key findings and recommendations of the Investment Strategy Review. In presenting the update, he highlighted the following key points:

·            The strategy review had been conducted in correlation with the triennial actuarial valuation. The work undertaken was predominantly focused on ensuring sufficient resources to meet benefit payments as they fell due, recovering any shortfalls in assets, keeping employer contributions as stable as possible at reasonable cost, and maximising investment returns within reasonable risk parameters.

·            The outcome of the analysis had led to a series of recommendations set out in the executive summary of the report. The Sub-Committee had agreed in October 2025 to adopt a new long-term investment strategy, referred to in the report as Alternative Three. This new strategy included new allocations to private equity and natural capital, a reduction in the infrastructure allocation, and an increased allocation to protected assets.

·            In terms of required changes to current assets, specifically the Multi-Asset Funds, the proposed changes had been categorised into two groups: those that could be implemented over the near term through officers, and those that would take longer to implement and would require engagement with London CIV to clarify responsibility.

·            In respect of immediate actions, it was recommended that the Fund reduce its allocation to the Multi-Asset Fund, which was currently overweight, and reinvest those assets into the protection portfolio to increase the allocation to Fixed Interest Gilts and Multi-Asset Credit. Multi-Asset funds were to be reduced from 14.3% to 5.0% (down 9.3%) in the long term, with the review strategy recommending reducing over exposure by around 7% in the short term with around a third of the proceeds from the sale to top up Gilts. The remaining balance from the sale  ...  view the full minutes text for item 6