The National Association of Pension Funds (NAPF) has launched a new guide at its investment conference in Edinburgh to explain fiduciary management to pension fund trustees.

The guide, authored and sponsored by Russell Investments, is the latest addition to the NAPF’s ‘made-simple’ series.

It provides advice on what needs to be done as well as an outline of the issues that need to be considered if trustees decide to adopt a fiduciary management approach.

The guide is published following research that found that the use of fiduciary management increased by 30 per cent since 2010 – with over 200 pension schemes in the UK using this approach.

NAPF chief executive Joanne Segars said: “Fiduciary management is a hot topic and trustees need to consider carefully whether this is the right option for their needs. Ultimately, trustees are responsible for scheme decisions and cannot side-step their responsibilities. By offering key information clearly and succinctly, this guide aims to help trustees consider whether fiduciary management can help them run their scheme.”

Russell Investments Head of Pension Solutions Group Shamindra Perera added: “Current decision-making structures of many pension schemes are struggling to keep pace with the increasingly complex investment strategy and implementation. A good fiduciary manager should have the necessary expertise, resource and time to help pension funds deal with this complexity at every stage of their investment process, from advice on strategy design, through making day-to-day decisions in real-time to efficient trading and execution.”

A hard copy of the guide costs £18 for NAPF members and £35 for non-members and can be ordered online here.

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