By IPE Staff2021-05-05T08:30:00+01:00
Pension funds rushing to meet the June deadline for compliance of the Competition and Markets Authority’s (CMA) retender of fiduciary managers rule could cut corners leading to poorly negotiated fees and inappropriate mandates, Hymans Robertson has warned.
With the deadline fast approaching, trustees making retender decisions solely based on time pressures could risk undertaking the process without a full commitment leading to poor outcomes for schemes, the consultancy said.
This means the assessment of the mandate and strongly negotiated fees may not be done thoroughly, it added.
Samora Stephenson, senior investment consultant at Hymans, said: “The purpose of the CMA’s deadline is for schemes to ensure that fiduciary management provides value for money for pension schemes, while at the same time demonstrating good governance.”