When taking investment risk to fund the pensions promised to members, we are relying on the scheme’s sponsors – its participating employers – to effectively underwrite that risk.
Building a truly innovative DC product is a vital part of our goal to give members the best possible investment options and access to forward-thinking investment strategies that’ll positively impact the final value of their DC savings when they come to take them. Read about our recent areas of DC innovation from an investment perspective.
In light of the horrific events that have been unfolding over recent weeks in the Middle East, we know that members and employers may have questions about our investments. Simon Pilcher, Chief Executive of USS Investment Management, sets out our approach to investing responsibly and in the best financial interests of the scheme’s members and beneficiaries, in line with our legal duties.
Unlike publicly listed assets, where values are obtained from quoted traded prices, private assets are valued by experts using a range of different data points and techniques to form a view of fair value.
Climate scenario analysis is a vital tool to help us assess the financial risks we face as investors under various future climate outcomes. We’ve worked with the University of Exeter to develop four new climate scenarios that are more useful for our investment decision-making.
Our latest TCFD report is now live, which looks at how we’re tackling the financial risks of climate change. Innes McKeand, our Head of Strategic Equities, talks about our progress towards our Net Zero ambition and the actions we’ve taken.
USS is proud to have been a signatory to the Stewardship Code since 2021. We have now submitted our third report to the Financial Reporting Council (FRC), setting out how active stewardship remains an important aspect of our investment approach.
Our new Stewardship and Voting Policy will see us vote more personally against responsible directors where possible. David Russell, Head of Responsible Investment, talks to our new voting approach and looks at how we’ve voted for climate action recently.
Simon Pilcher, Chief Executive of USS Investment Management, details the current risks faced by defined benefit schemes, and how an investment strategy should be based on balance, diversification and resilience.