The £120m Loomis UK pension plan has appointed Russell Investments as its new fiduciary manager after dropping its previous provider, Mercer.
Loomis appointed Mercer as its fiduciary manager in 2010, but said it had now hired Russell because it demonstrated a “clear vision” of how it would develop and implement the fund’s strategy.
The move represents a landmark for fiduciary management as it is one of the first examples of an early adopter of the strategy taking stock and replacing its initial provider.
Loomis finance director Tim Gibbs said: “One of the reasons we adopted fiduciary management was to get clear accountability for the outcomes of the pension fund. We hired Russell after a thorough selection process because we believe they have the skills and resources to get us to our goals and importantly a culture of accountability, which we believe is crucial when making the selection of a fiduciary partner.”
Russell head of the Pension Solutions Group Shamindra Perera said: “We see this appointment as something of a milestone for UK fiduciary management. Loomis was an early adopter of fiduciary management. As would be expected by such a progressive and proactive group of trustees, they took action to ensure that their needs are fully addressed. It represents the harbinger of a new and exciting phase in the growth of FM in the UK, as many that had adopted FM three or four years ago begin to assess the merits of their chosen provider.”
Mercer declined to comment.
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