Issue - meetings

REVIEW OF ADDITIONAL VOLUNTARY CONTRIBUTION PROVIDERS

Meeting: 26/07/2018 - West Yorkshire Pension Fund Joint Advisory Group (Item 14)

14 REVIEW OF ADDITIONAL VOLUNTARY CONTRIBUTION PROVIDERS pdf icon PDF 153 KB

West Yorkshire Pension Fund has three Additional Voluntary Contribution Providers namely:

 

·         Equitable Life Assurance Society

·         Scottish Widows

·         Prudential

 

Annually the West Yorkshire Pension Fund ask Aon’s AVC Team to review the performance of the Additional Voluntary Contribution Providers in terms of investment performance, financial strength, investment capabilities, charging structure and administration.  The report of the Director, West Yorkshire Pension Fund (Document “I”) outlines the findings of that review.

 

Recommended –

 

That the outcome of the annual review of West Yorkshire Pension Fund’s Additional Voluntary Contribution Providers, contained in Document “I” be noted.

(Rodney Barton – 01274 432317)

Decision:

Resolved –

 

That the outcome of the annual review of West Yorkshire Pension Fund’s Additional Voluntary Contribution Providers, contained in Document “I” be noted.

 

ACTION: Director, West Yorkshire Pension Fund

(Rodney Barton – 01274 432317)

 

Minutes:

West Yorkshire Pension Fund has three Additional Voluntary Contribution Providers namely:

 

·         Equitable Life Assurance Society

·         Scottish Widows

·         Prudential

 

Annually the West Yorkshire Pension Fund asks Aon plc’s Additional Voluntary Contribution Team to review the performance of the Additional Voluntary Contribution Providers in terms of investment performance, financial strength, investment capabilities, charging structure and administration.  The report of the Director, West Yorkshire Pension Fund (Document “I”) outlined the findings of that review.

 

A proposal that Club Active, WYPF’s communication with Members, could be used to advise members to consider Lifestyle Funds, which were considered less risky as members approached retirement, was suggested.  In response it was explained that WYPF as administers of the Fund were unable to provide financial advice.  That view was challenged and a belief that the fund was making decisions for its members was expressed, however, the Director, WYPF explained that members were provided with options and that they did make active decisions.  

 

The report revealed that one of the Fund’s three AVC providers, Equitable Life, had entered into an agreement to transfer its business to Reliance Life.  Members questioned the effect of that transfer and were assured that advice would be sought from the Actuary.   

 

Resolved –

 

That the outcome of the annual review of West Yorkshire Pension Fund’s Additional Voluntary Contribution Providers, contained in Document “I” be noted.

 

ACTION: Director, West Yorkshire Pension Fund