Common sense prevails as government amends Pensions Schemes Bill to include investment companies
This means that pension schemes will now be able to use investment companies to meet any requirement to invest in private assets.
The Association of Investment Companies (AIC) has welcomed the government’s amendments to the Pension Schemes Bill to include investment companies (investment trusts). Following repeated calls from the AIC and campaigners including Baroness Ros Altmann and Baroness Sharon Bowles, the Bill completed its passage through the House of Commons and House of Lords late yesterday evening.
Richard Stone, Chief Executive of the Association of Investment Companies (AIC), said: “Thanks to the persistence of the AIC’s campaign and the excellent work of Baronesses Altmann and Bowles, common sense has prevailed. This amendment means that pension schemes will now be able to use investment companies to meet any requirement to invest in private assets such as infrastructure and private equity.
“This has an immediate impact, because it gives pension schemes the confidence to invest in investment companies to meet their Mansion House commitments. Pension schemes can now be assured that those investments will count towards any future requirement to invest in private markets.
“Investment companies are a proven structure for investing in private assets in the UK. It’s common sense that investment companies should be considered a legitimate way of accessing these assets.”
