Strathclyde approves £50m in PE commitments and hires new IC

Institution: Strathclyde Pension Fund
Headquarters: Glasgow, United Kingdom
AUM: £26.2 billion

Strathclyde Pension Fund has committed a total £50 million across two growth equity funds, according to the pension’s June 2021 investment committee meeting minutes.

The Glasgow-headquartered pension has committed £20 million to Clean Growth Fund, managed by Clean Growth Investment Management; alongside £30 million to Scottish Equity Partners’ SEP VI.

Highlights from Strathclyde Pension Fund’s June 2021 investment meeting materials:

• Strathclyde appointed the UK-based Hymans Robertson as its general investment consultant. The firm was chosen because of its performance against the pension’s assessment criteria, which took into account costs, quality of service and fair work practices. Hymans scored highly against six other competitors including PwC. The awarded contract will commence on the 1 July for an initial period of three years.
• The pension fund also appointed Pinsent Masons as its legal provider for a period of five years that will also commence on 1 July. The UK-based law firm won the contract against three competitor firms.
• To meet its climate change strategy, Strathclyde also announced it will be reviewing its energy company holdings within its private equity portfolio with plans to ‘disinvest’ in those which do not meet the required environmental standards.
• As of 31 March 2021, the fund had £26.176 billion in assets under management, an increase of £716 million since December 2020.

As illustrated below, Strathclyde Pension Fund has made five commitments to private equity funds with a 2019 or 2020 vintage year, which combined constitute £125 million.

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