TPT Investment Management (TPTIM) will offer fiduciary management services as part of a new defined benefits (DB) offering that allows trustees to access TPT’s pensions and investment expertise while retaining the trusteeship of their scheme.
TPT is one of the largest workplace pension schemes in the UK, serving over 2,600 organisations and more than 425,000 members and has assets of around £10.4bn. Through TPTIM, TPT said trustees will be able to access the scale, investment opportunities and expertise of a large master trust pension scheme while retaining trusteeship.
The new company will also manage the parent company’s £10.4bn master trust assets and is set to launch in the next quarter
The proposition will provide pension schemes with the full suite of master trust services– including trustee support, administration, actuarial, investment management and covenant – while allowing schemes to retain their existing trusteeship.
TPT said that by transitioning the existing investment management capability into a separately regulated investment management entity, TPT can make its best-in-class capability available to the trustees of non-TPT pension schemes in addition to TPT’s current master trust.
Access to alternative assets
The service will provide access to a range of investments that would not necessarily be available as a standalone scheme including greater exposure to alternative investment assets, such as infrastructure and broader private market assets, as well as TPT’s leading Responsible Investment capabilities.
TPTIM is launching a series of collective investment vehicles as Alternative Investment Funds (AIFs). The use of collectives will allow the aggregation of the assets overseen by TPT with those of external pension schemes, generating immediate scale benefits across a wide range of assets.
Cliff Speed, TPT’s current chief investment officer will become the new CEO of TPTIM.
Before joining TPT, Cliff was managing director for BlackRock Solutions, leading the firm’s UK fiduciary service for pension schemes.
One size does not fit all
David Lane, CEO of TPT Retirement Solutions, said: “We are thrilled to be launching our new investment company. This marks the beginning of a new and exciting chapter for TPT.
"We remain firm advocates of the master trust model and are the standard bearers of consolidation. However, we recognise that one size doesn’t fit all, and for some trustees joining a master trust is not a viable option.
“Through our new offering, we will offer trustees the ability to retain legal responsibility for the overall delivery of member benefits, whilst generating efficiencies through scale and access to best-in-class pension scheme investment management capability. This will provide better value to the schemes, incorporate the highest levels of stewardship and, ultimately, deliver better outcomes for members.”
“Many lay trustees struggle to keep up with the growing regulatory responsibilities and administrative requirements placed upon them. TPT will be able to assist them with this as part of our new proposition. We look forward to launching our new DB proposition in due course, which has been enabled by the formation of TPTIM.”
