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British Airways appoints Blackrock to manage £21bn pension fund

British Airways appoints Blackrock to manage £21bn pension fund By Momodou Touray 2 British Airways has appointed BlackRock to manage its £21.5bn pension fund.  The agreement covers the assets directly under management for Airways Pension Scheme (APS) and New Airways Pension Scheme (NAPS) which serve more than 85,000 members.   The partnership will see the transfer of the schemes’ investment management from its in-house provider British Airways Pension Investment Management Limited (BAPIML) to BlackRock.   BA Pensions’ decision to appoint an external investment manager is the first of its kind in the UK pensions industry at this scale.  Due to recent changes in pension regulation, many UK pension schemes are looking externally for investment management capabilities with the scale and resources to take on the challenges. 

BA trustees pull plug on in-house team in £21 5bn outsourcing move

The trustees of British Airways’ pension schemes have agreed to outsource all directly managed assets to BlackRock in the largest OCIO deal to date in the UK, bringing to an end one of the country’s most experienced independent in-house teams. The move means dramatic changes for the 42 members of the BA Pensions in-house team, many of whom have been in place for well over 10 years. Employees of provider British Airways Pension Investment Management Limited (BAPIML), including CIO David Stewart and deputy CIO John St Hill, have transferred to BlackRock, alongside some from the administration unit. The property team under Paul Scott also transfers to BlackRock, as reported by our sister publication IPE Real Assets.

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