Member

The amendment asks whether we should think more seriously about how such investment opportunities are assessed, signposted and understood not as a departure from fiduciary duty but as an application of it to long-term risks and returns. In particular, it asks whether a framework could help trustees evaluate these investments using the metrics that matter to pensions, such as risk-adjusted return, liquidity, duration and alignment with long-term liabilities. It also asks whether, where long-term economic or systemic benefits are genuinely financially material to members’ outcomes, there is a sensible and proportionate way to reflect that within the value-for-money framework. This amendment is fundamentally about ensuring that where trustees consider such investments, they are equipped to do so rigorously, consistently and with confidence, and that members can understand what is being done and why.