Railpen, one of the largest pension funds in the UK, has awarded a £2bn mandate to manage a liquid multi-asset credit strategy to Neuberger Berman, a private, independent, and employee-owned investment manager.
The mandate establishes a strategic partnership between Railpen and will focus on investments across a broad range of credit sectors covering both the investment grade and non-investment grade space.
The strategy will sit within Railpen’s Growth Fund a multi-asset portfolio managed by Craig Heron, head of public markets, and will help to realise the trustee’s ESG beliefs.
Railpen said it would aims to deliver risk-adjusted returns, using Neuberger Berman's expertise in fixed income investing, and environmental, social, and governance (ESG) proficiency.
Railpen manages around £34bn of assets on behalf of the railway industry, and said it was committed to investing securely and sustainably. It claimed its strategic partnership with Neuberger Berman would enable Railpen to continue its commitment to securing its members’ future’s.
Railpen: Investment goals
Railpen - formerly known as RPMI and RPMI Railpen - is authorised and regulated by the Financial Conduct Authority (FCA), Railpen and acts as the investment manager of the railways pensions schemes and is responsible for the management of around £34bn Railpen runs the railways pensions schemes on behalf of its parent, the Railways Pension Trustee Company Limited (RPTCL).
Ed Jones, head of UK institutional client business at Neuberger Berman, says: “We are pleased to be able to help Railpen’s members achieve their investment goals in its Growth Fund by utilising our liquid credit expertise across the broad range of market sectors.”
Harsha Patel of the external manager oversight team at Railpen says: “We are excited to be partnering with Neuberger Berman to deliver a liquid multi-asset credit strategy that will help us achieve our investment goals. The firm’s expertise in credit investing, combined with strong ESG capabilities, makes Neuberger Berman an ideal partner for us as we continue to secure our members future”.
