UK –Trustees of the Greenalls Group Pension and Life Assurance Scheme – the £250m (€367m) defined benefit fund for the De Vere hotel and travel group - are performing a complete review of the scheme’s investment strategy.

The position of current managers Legal & General Investment Management, Merrill Lynch Investment Management and Capital International remains unclear.

Group pensions manager, Andrew Smith, stated it was “too early to say” in terms of whether mandate sizes would be affected or whether there would be a complete overhaul.

LGIM reportedly manages a roughly £75m fixed income mandate, Merrill Lynch IM handles a corporate bond mandate worth £75m and Capital International runs a global equity mandate worth about £100m.

According to Smith, the investment strategy review will form part of the scheme’s actuarial valuation in 2006.

This is in accordance with the Pensions Regulator’s code of practice – published just before Christmas – stating that investment strategy should be reviewed at least at each valuation.

The review began at the start of this year and will run until the end of next year.

Smith told IPE that Watson Wyatt would advise the scheme along with “any other advisers deemed appropriate by the trustees”.

He added that it is also “too early to say” whether there will be increased investment allocations into any particular asset class.

The scheme’s current portfolio consists of: 40% global equities, 55% fixed interest (corporate bonds and gilts), 5% index linked gilts.