The Pension Committee of Camden Council met to review the Fund's investment strategy, performance reports, and various policy documents. Key discussions were scheduled around the adoption of a new Investment Strategy Statement, updates on the London Collective Investment Vehicle's progress, and the review of several crucial policies governing employer admissions, contributions, cessations, and responsible investment.

Investment Strategy Review

The committee was scheduled to consider a new Investment Strategy Statement (ISS) for the Camden Pension Fund, prepared by the Fund's Investment Consultant, Isio. This new ISS was intended to reflect the outcomes of the 2025 Investment Strategy Review, update the Fund's investment beliefs, and incorporate recent regulatory and pooling developments. The strategy, drafted in accordance with statutory guidance, proposed a shift towards a Lower Risk & Higher Impact approach. This would involve reducing the public equity allocation, increasing investment in index-linked gilts, introducing new allocations to renewable infrastructure and natural capital, and increasing investment in long-lease property. The revised strategy was expected to deliver an 8.5% expected return per annum, improve inflation linkage, and reduce Value at Risk. The committee was asked to approve the revised Investment Beliefs and the Draft Investment Strategy Statement, and to delegate authority for finalising the statement.

Performance Report

A report was scheduled to present the performance of the Pension Fund investment portfolio and that of the individual investment managers for the quarter ended 30 September 2025. This report included detailed financial market data and a comparative analysis of manager performance against their targets and the PIRC universe. The overall fund value had risen during the quarter, and while the year-on-year gain was behind the benchmark, it remained in positive territory. Specific managers were highlighted for strong performance, while others were noted for underperformance.

London Collective Investment Vehicle (LCIV) Progress Report

The committee was to receive a brief update on recent developments at the London Collective Investment Vehicle (LCIV). The update was to be limited to the proposal from Buckinghamshire Pension Fund to join the London CIV as a Partner Fund. This development was seen as contributing to the Government's pooling agenda and the drive for greater efficiencies and cost savings within the Local Government Pension Scheme (LGPS).

Funding Strategy Statement

Revisions to the Funding Strategy Statement (FSS) were scheduled for consideration. This statement establishes how scheme employers in the Pension Fund are treated, outlining how employer liabilities are measured, the pace at which these liabilities are funded, and how employers or pools within the Fund pay for their liabilities. The revised FSS was updated in line with new regulatory guidance and incorporated changes related to employer classification, contribution stability, and climate risk modelling.

Admissions Policy

A draft Admissions Policy for the Camden Pension Fund was presented for approval. This policy sets out the Fund's framework for admitting new employers in accordance with the LGPS Regulations 2013. It clarifies the Fund's default approach to new admissions, including the treatment of contractors admitted following outsourcing arrangements, and outlines the responsibilities of administering authorities, letting authorities, and participating employers. The policy introduces a default pass-through model for new outsourcing contracts, where the letting authority retains most funding, investment, and demographic risks.

Contributions Review Policy

The committee was asked to approve a draft Contributions Review Policy. This policy sets out the circumstances under which the administering authority may review employer contribution rates between triennial valuations, in line with LGPS Regulations and MHCLG statutory guidance. The policy aims to provide employers with transparency and consistency, particularly in situations involving significant changes to funding, employer covenant, membership profile, or anticipated exit from the Fund. It also clarifies that short-term market volatility will not trigger interim contribution reviews.

Cessation Policy

A draft Cessation Policy was presented for approval. This policy sets out the administering authority's approach to managing the cessation of employers participating in the Camden Pension Fund. It clarifies how liabilities are calculated when an employer exits the Fund, how any resulting surplus or deficit is treated, and how the Fund exercises its discretionary powers under the LGPS Regulations 2013. The policy formalises the approach to managing cessation events, including the valuation approach, exit payment terms, and the use of Debt Spreading Arrangements (DSA) and Deferred Debt Agreements (DDA).

Engagement Report

The committee was to be updated on engagement activity undertaken by the Fund and on its behalf by the Local Authority Pension Fund Forum (LAPFF) since the last committee meeting. This report highlights the Fund's commitment to Responsible Investment and engagement in Environmental, Social, and Governance (ESG) issues. The report detailed engagements with companies on topics such as climate change, water stewardship, human rights, nature and biodiversity, governance, and executive remuneration. It also provided a summary of voting activity.

Draft Pension Fund Annual Report 2024/25

The committee was reminded of the requirement to produce an Annual Report under the LGPS Regulations 2013 and was presented with the 2024/25 draft Annual Report, pending completion of the external audit. No material issues had been identified during the audit. Authority was requested to be delegated to the Director of Finance in consultation with the Chair to make any amendments required before publication.

Triennial Valuation - Initial Whole Fund Results

The committee was scheduled to consider the initial whole fund results of the triennial valuation from the Pension Fund's actuary, Hymans Robertson. The report presented the initial results, indicating an improvement in the fund's funding level, reflecting strong performance and stable assumptions. Employer contribution rates were expected to reduce slightly while maintaining prudence.

Draft Responsible Investment Policy

As an urgent item of business, the committee was to consider the Draft Responsible Investment (RI) Policy for the Camden Pension Fund. This policy was presented as a response to government reforms affecting the LGPS and the impending asset pooling deadline. The policy outlines approaches to responsible investment, including ESG factors, and is considered urgent to ensure compliance with statutory requirements by the March 2026 deadline. The report detailed the steps taken to develop the policy, including market engagement and the use of the RepRisk AI platform for portfolio screening. The committee was asked to review and comment on the draft policy, noting that final legal clearance was pending and the final policy would be brought back for formal approval in March 2026.

Any Other Business

The agenda also included a slot for any other business that the Chair considered urgent.

The date of the next meeting was scheduled for Wednesday, 18 March 2026.