Van Lanschot Kempen has been appointed to deliver a bespoke £100m private markets mandate for a UK defined benefit (DB) pension fund.
The strategy is tailored to meet the long-term goals of the pension fund through a “highly customised” portfolio of private equity and infrastructure assets, paired with a funding approach which links the discount rate to the long-term asset portfolio.
Van Lanschot Kempen noted that this approach places an emphasis on long-term investment and enables the undisclosed scheme to focus on high-conviction investments in private markets.
The £100m mandate is structured to provide the pension fund with access to Van Lanschot Kempen’s capabilities in private equity and infrastructure, where scale and access have traditionally posed a challenge for institutional investors limited by allocation size. The manager added that this approach will build a “bespoke” portfolio, allowing for greater control, enhanced ESG integration, and significant cost savings.
The solution has been reviewed and tested by an independent investment consultant.
Nikesh Patel, managing director and head of client solutions for the UK at Van Lanschot Kempen, said: “This mandate reflects a growing demand for more bespoke, cost-efficient access to private markets. We believe solutions of this kind can be transformative for institutions that were previously constrained by allocation amount, enabling investors of all sizes to access and benefit from the opportunities private markets have to offer.”
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