Pension Insurance Corporation (PIC), a specialist insurer of defined benefit pension funds, has appointed Henderson Global Investors as its sole external sterling corporate bond manager, as it prepares to implement a "buy-to-hold" asset strategy under Solvency II.
Following a consolidation of its previous portfolio management PIC said that Henderson will now manage £3.2bn of PIC's portfolio, more than twice the amount that it previously managed for PIC. A spokesman for PIC did not give any further details about the management of the portfolio before the consolidation.
PIC will internally manage a further £2bn of sterling corporate bonds, including a wide range of infrastructure bonds. PIC has a total portfolio of almost £14bn.
Tracy Blackwell, deputy CEO of PIC, said: "Consolidating our sterling bond portfolio managers is an important step in our preparations for the "buy-to-hold" discipline required by Solvency II. The appointment of Henderson demonstrates that our transition is on track. We are of course delighted to be continuing our partnership with Henderson. Excellent credit skills, a strong working relationship and high levels of client service were key to this appointment."