As the UK’s largest commercial master trust, we’re announcing a major evolution as we continue to grow towards becoming a world class asset owner with the appointment of two prominent asset managers to oversee large parts of our rapidly growing investment portfolio.

Amundi, Europe’s largest asset manager, will manage £20bn in passive developed market equities, while Invesco, will take responsibility for more than £8bn in fixed income investments for our £32bn defined contribution (DC) scheme.

New partnerships reflect our long-term approach

Both appointments represent a step forward in achieving greater alignment with our stewardship approach and priorities and will allow us to continue to evolve these high standards.

Passive equity portfolio

The passive equity portfolio awarded to Amundi consists of five regional sleeves covering major developed markets and will continue to include climate-focused indices aligned with our responsible investment policy.

Fixed income portfolio

The fixed income mandate awarded to Invesco spans sovereign bonds, investment-grade credit, and high-yield bonds across the UK, US, Europe, and emerging markets. The appointment gives us a manager who can be a long-term strategic partner, has experience in various sub-asset classes, and can deliver strong returns for our members, which is crucial given the scale of our pension scheme.

Boosting ESG alignment and risk management

Meeting our meticulous expectations

Both new managers were selected following an extensive research and due diligence process run by the Equity and Fixed Income teams at People’s Partnership, provider of The People’s Pension.

This move follows the recent transition of £28bn of assets into segregated mandates held by our pension scheme’s custodian, Northern Trust, providing us with greater control, transparency, and flexibility in our investment approach.

Leveraging our scale to drive long-term growth

The size and scale of The People’s Pension – with £32bn+ assets under management (AUM) and almost 7m members – enable us to partner with world-class asset managers like Amundi and Invesco, leveraging their expertise in responsible investing, risk management, and long-term growth to continue delivering strong financial outcomes for our members.

As we continue our journey to becoming one of the UK’s largest asset owners, we will carry on investing in partnerships that put our members and the advisers and employers we work with first.