London Pensions Fund Authority Investments

Meeting: 
MQT on 2015-09-16
Session date: 
September 16, 2015
Reference: 
2015/2945
Question By: 
Murad Qureshi
Organisation: 
Labour Group
Asked Of: 
The Mayor
Category: 

Question

Following the respective decisions of the Greater Manchester and Strathclyde Pension Funds to invest in small scale renewable energy projects, will you reconsider your short sighted objection to use LPFA to drive investments in renewables whilst delivering a good return for rights holders?

Answer

Answer for London Pensions Fund Authority Investments

Answer for London Pensions Fund Authority Investments

Answered By: 
The Mayor

The LPFA currently holds a number of renewable energy investments and continues to appraise such opportunities. It is not appropriate for me to direct specific details of the LPFA's investment strategy; this must be set by the LPFA's board mindful of the fiduciary duty to obtain the best returns for the fund's stakeholders, to maintain appropriate risk parameters and to match the relevant pensions liabilities. The liabilities, risk tolerances and existing assets for each fund are different, so it cannot be assumed that investments that are suitable for one are automatically suitable for others.