The Asda Group Pension Scheme Statement of Investment Principles sets out the high-level objectives, principles and policies governing the investment decisions of the Trustee.
It has been drawn up by Asda Group Pension Scheme Trustees Limited as trustee of the Scheme (the ‘Trustee’), taking into account relevant legislation.
The primary objective of the Trustee is to pay the benefits in full as they fall due. To this end, the Trustee, in consultation with the Scheme’s sponsoring employer, Asda Stores Limited, has appointed Rothesay Life plc to provide a buy-in policy for the Scheme. This policy is designed to meet all members’ benefit payments as they fall due.
The buy-in policy was implemented on 16 October 2019. It is expected that the buy-in policy will be converted into a buy-out policy within two years of executing the buy-in policy . At that point, the responsibility for meeting members’ benefits will be transferred from the Trustee to the Insurance Provider.
To support the Buy-out Objective the Trustee is in the process of realising the remaining investments held in the Scheme’s name.
In the meantime, the Trustee retains overall responsibility for reviewing the ongoing operation of and risks associated with the buy-in policy. This includes, but is not limited to, the Insurance Provider’s ongoing credit quality and the timeliness and accuracy of payments made to the Scheme.
Further information and the full Statement of Investment Principles can be found here.