A greater number of defined benefit pension schemes should join forces with one another as part of a “sharing system” to boost their investment strategies and performance, Royal Mail Pensions Trustees CEO Chris Hogg has advised.

Speaking at the NAPF conference in Manchester today, Hogg said there is “undoubtedly a large amount of value” in schemes coming together to create a larger investment portfolio to justify paying for some sort of chief investment officer.

“A part-time CIO would be the concept or even a temporary part-time CIO,” he said.

“They could come in for one or two years and change the investment mandates for four or five small schemes.”

Hogg also spoke about the pooling of resources of larger pension schemes within the local government pension scheme space to support the idea.

“If I were to share my investment ideas for Royal Mail with three to four other pension schemes it is not going to affect my ability to invest in these areas. It would improve the situation for all. To care is to share,” he commented.

On the issue of successful DB governance, Aon Hewitt senior partner Jackie Daldorph said it is about having “the right people, doing the right things, at the right time, with the right information to get the right results”.

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