The Greenwich Council Pension Board was scheduled to meet to discuss its business plan, review fund performance, and agree its annual report. The board was also expected to receive training on audit and accounting standards.

Fund Manager Performance

The board was scheduled to review a report on the performance of the Royal Borough of Greenwich Pension Fund's investment managers for the period ending 31 March 2025.

The report included a summary of each investment manager's mandate as of that date:

• Blackrock: Global/UK Equities and Cash
• LGIM: Global Low Carbon Equities
• Fidelity: Bonds, Multi Asset Credit and Global Emerging Markets
• CBRE: Property
• London CIV: Multi Asset (Absolute Return Fund) and Renewable Infrastructure and Private Debt
• Partners Group: Diversified Alternatives
• Wilshire: Private Equity

According to the report, the fund's assets increased by approximately £3.6 million during the first quarter of 2025, from £1.696 billion to £1.6997 billion. The largest positive contributors in absolute terms were the LCIV Absolute Return Fund and BlackRock UK Equity Fund. The LGIM Future World Global Equity Fund was the largest detractor from performance in absolute terms, while the Fidelity Global Emerging Markets Equity Fund also detracted from performance to a lesser extent.

Pension Fund Risk Register

The Pension Board was expected to note the section of the Pension Fund risk register that covers employer and investment risks. The register identifies different types of risk including:

• Administrative risk
• Compliance/Regulatory risk
• Employer risk
• Investment Risk
• Liability Risk
• Reputational Risk
• Skill Risk

The risk management process involves risk identification, analysis, control, and monitoring. A risk scoring mechanism is used to assess the chance and impact of each risk, with an overall score determining the level of response required.

One of the risks listed in the register is that employers cease to make contributions to the fund, having an inadequate alternative funding, bond or guarantee in place, generating a deficit to be recovered by residual employers. The controls in place to mitigate this risk include monitoring the risk profile of employers, considering bonds or guarantees for new employers, and implementing new employer flexibilities such as Debt Spreading Agreements (DSA's) or Deferred Debt Agreements (DDA's).

Another risk is that the asset mix is insufficient to generate funds to meet liabilities, resulting in a lower funding level, inappropriate deficit recovery period and increased employer contributions. Controls in place to mitigate this include asset/liability study, diversification, and frequent monitoring.

Pension Board Business Plan 2025/26

The Pension Board was scheduled to note the work undertaken during 2024/25 and the Board's Business Plan for 2025/26.

The business plan sets out the key tasks for the board in respect to pension fund issues for the period 1 April 2025 to 31 March 2026. It is an important tool through which the Board and officers set out the workstreams over the coming year to achieve the Fund's aims and objectives. The business plan will be reviewed at least annually.

The Pension Board Business Plan 2025-26 Report stated that the plan relates to the council's mission to ensure that:

Our Council works in the most efficient and effective ways possible

The report also noted that the fund has a net zero target date of 2040 alongside a commitment to explore options for reaching this target more quickly, in line with the council's commitment to be carbon neutral by 2030¹.

Annual Report of the Board

The meeting was scheduled to include a discussion on the annual report of the Pension Board for 2024/25. The Scheme Advisory Board has produced guidance on the creation and operation of Local Pension Boards for administering authorities, which identifies the publication of an annual report for the Board as good practice. The guidance sets out the areas to be addressed in the report, including:

• A summary of the work undertaken in the year by the Local Pension Board.
• Details of areas reported to the Board to be investigated and how they have been dealt with.
• Details of any conflicts of interest that have arisen in respect of individual Local Pension Board members and how these have been managed.
• Whether there are any risks or other areas of potential concern which the Board wishes to raise
• Details of training received and future training needs.
• The work plan for the last year and a draft of the work plan for the following year.
• Details of any expenses and other costs incurred by the Local Pension Board and anticipated expenses for the forthcoming financial year.

The Annual Report of the Board 2024-25 noted that 2024/25 was the Board's 10th year of operation. The purpose of the Board is to assist the administering authority of the Fund (the Royal Borough of Greenwich) in its role as scheme manager.

Pension Panel Meeting Activity

The Pension Board was scheduled to note the minutes of the Pension Investment and Administration Panel meetings held on Monday 17 March 2025.

Items discussed at the Pension Investment and Administration Panel meeting included:

• Draft Pension Fund Accounts as at 31 December 2024
• Draft Business Plan for 2025/26
• Financial Reporting Council (FRC) UK Stewardship Code Report 2024²
• Pension Fund Risk Register
• Progress Update Report
• Fund Manager Performance to 31 December 2024

Training - Audit and Accounting Standards

The board was scheduled to receive training from Kenny Taylor of Hymans on Audit and Accounting Standards, and to undertake a paper-based quiz in relation to the training.