The London Local Government Pension Scheme (LGPS) Central Investment Vehicle (CIV) has recently released its latest prospectus for the authorised contractual scheme (ACS). The prospectus highlights the key investment strategies, objectives and risks associated with the scheme.
The main objective of the LGPS CIV ACS is to provide a cost-effective and secure way for participating pension funds to invest in a diversified range of assets. This includes asset classes such as equities, fixed income, alternatives and property. By pooling their resources, the participating pension funds can access a wider range of investment opportunities than they would be able to individually.
The prospectus outlines the investment strategies that the scheme will employ to achieve its objectives. These include a focus on active management, using a combination of internal and external fund managers. The scheme also aims to achieve high levels of diversification across asset classes, sectors, and geographies.
However, investors in the LGPS CIV ACS need to be aware of the risks associated with the scheme. These include market risk, currency risk, and liquidity risk. The prospectus provides a detailed overview of these risks and the measures that have been put in place to mitigate them.
When considering investing in the LGPS CIV ACS, it is important to understand the fees associated with the scheme. The prospectus outlines the fees and expenses that participants will be charged, including management fees and other costs such as custody and auditing fees.
Overall, the LGPS CIV ACS prospectus provides potential investors with a comprehensive overview of the scheme`s objectives, strategies, and risks. It is important for investors to carefully consider these factors before deciding whether to invest in the scheme. With the right approach and understanding, the LGPS CIV ACS can provide participants with a secure and cost-effective way to invest in a diversified range of assets.