{"id":19573,"date":"2024-07-16T08:40:51","date_gmt":"2024-07-16T07:40:51","guid":{"rendered":"https:\/\/www.isio.com\/?post_type=news&p=19573"},"modified":"2024-07-17T16:53:01","modified_gmt":"2024-07-17T15:53:01","slug":"isio-quarterly-july-2024","status":"publish","type":"news","link":"https:\/\/www.isio.com\/news\/isio-quarterly-july-2024\/","title":{"rendered":"Isio Quarterly July 2024"},"content":{"rendered":"\n <section x-data=\"{ activeTab: 0 }\">\n\n <div class=\"tab_block relative bg-brandGrey-100 pt-0\">\n <div class=\"md:container lg:pt-36 relative z-10\">\n <div class=\"p-5 md:p-0 \">\n <h2 class=\"text-5xl lg:text-7xl text-brandGreen-100 mb-[25px] \">Welcome to IQ<\/h2>\n <p class=\"mb-[65px] text-xl md:w-1\/2\" text-brandGrey-100>Welcome to Isio\u2019s latest quarterly pensions update for sponsors, summarising key events from the quarter and looking ahead to what\u2019s coming up.<\/p>\n <\/div>\n\n <div class=\"hidden md:block border-b-[6px] border-brandGreen\">\n <nav class=\"isolate md:flex w-full\" aria-label=\"Tabs\">\n <a @click=\"activeTab = 0\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 0,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 0 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>Financial conditions update<\/span>\n <\/a>\n <a @click=\"activeTab = 1\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 1,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 1 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>General Election results<\/span>\n <\/a>\n <a @click=\"activeTab = 2\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 2,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 2 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>Investment grade credit spreads at historic lows<\/span>\n <\/a>\n <a @click=\"activeTab = 3\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 3,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 3 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>Isio\u2019s Independent Trustee Survey 2024<\/span>\n <\/a>\n <a @click=\"activeTab = 4\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 4,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 4 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>Incorporating illiquids into DC funds<\/span>\n <\/a>\n <a @click=\"activeTab = 5\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 5,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 5 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>PRO event for large scheme sponsors<\/span>\n <\/a>\n <a @click=\"activeTab = 6\" :class=\"{\n 'text-white bg-brandGreen-100': activeTab === 6,\n 'text-brandGreen-100 bg-brandGrey-100' : activeTab !== 6 }\" class=\"\n text-lg\n xl:text-[1.375rem] group relative\n py-4 px-6\n font-light md:font-medium focus:z-10\n hover:cursor-pointer\n block\n hover:text-white hover:bg-brandGreen-100 border-r border-t border-l border-brandGreen \">\n <span>Looking forward to next quarter<\/span>\n <\/a>\n <\/nav>\n <\/div>\n <\/div>\n <\/div>\n\n <div class=\"bg-brandGreen-100 pb-10 hidden md:block bg-no-repeat bg-left-bottom relative z-10 \" style=\"background-image:url('')\">\n <div class=\"container bg-brandGreen-100 \">\n <div x-show=\"activeTab === 0\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Change since 31 March 2024<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-19929 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/IQ-Isio-Quarterly-July-market-update.gif\" alt=\"\" width=\"600\" height=\"250\" \/><\/p>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<p><strong>Commentary<\/strong><\/p>\n<ul>\n<li>Corporate bond and gilt yields increased by c. 0.25-0.3% and long-term inflation fell by 2-3 basis points over the quarter<\/li>\n<li>Credit spreads increased slightly (less than 5 basis points) over the quarter<\/li>\n<li>Equity markets saw a positive quarter (returning c.+3%)<\/li>\n<li>These movements are likely to have improved buyout positions due to reductions in liabilities exceeding reductions in assets<\/li>\n<li>Accounting and funding positions are also expected to have improved in general, other than for well-hedged schemes with low proportions of return seeking assets<\/li>\n<\/ul>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Accounting-in-Pensions-Post-30-June-2024.pdf\">Download a deep-dive report <\/a>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 1\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>New Labour government and what it could mean for pensions<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nWith Labour securing a sizeable majority their promised pensions review has the potential to be more radical and grasp some of the thornier pensions issues. Their manifesto noted this would look to improve member outcomes, ensure schemes take advantage of consolidation, and to increase productive investment in UK markets. Although they dropped plans to reintroduce the Lifetime Allowance, pensions might be seen as a convenient target for \u2018stealth\u2019 taxes when fiscal circumstances are tight.<\/p>\n<p> <\/p>\n<p><span class=\"ui-provider a b c d e f g h i j k l m n o p q r s t u v w x y z ab ac ae af ag ah ai aj ak\" dir=\"ltr\">Emma Reynolds has been confirmed as the new pensions minister. \u00a0Interestingly, she has been appointed to both the Department of Work and Pensions and the Treasury. \u00a0This may be a deliberate attempt to provide a more joined up approach to policy and dealing with two separate regulatory bodies (The Pensions Regulator and the Financial Conduct Authority).<\/span><\/p>\n<p> <\/p>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Isio’s view<\/strong><\/p>\n<p>We hope the scope and timescale of a pensions review will be clarified quickly. Equally, it will be important to understand what existing pensions policy developments a new Pensions Minister will accelerate, put on the back-burner or bin altogether. Whilst ongoing initiatives such as CDCs and dashboards are likely to continue as planned there are some areas of uncertainty such as extension of auto-enrolment, DB surplus extraction and the PPF as a public sector consolidator. Proposed changes to employment laws will also see extended pay gap reporting requirements and greater policing through a Single Enforcement Body.<\/p>\n<p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Whilst the change in government is unlikely to lead to an immediate change in direction of pensions policies, there could be a re-prioritisation which employers will have to adapt to. We hope to see longstanding policy initiatives finalised quickly, e.g. the new funding code, and areas of uncertainty addressed promptly, e.g. DB surplus extraction. For any changes to employment laws, we hope time will be given for proper industry consultation.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/insights\/new-labour-government\/\">More on the government’s plans for pensions<\/a>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 2\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Investment grade credit spreads at historic lows \u2013 time to review?\u200b<strong \/> <\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nInvestment grade corporate bond spreads have narrowed significantly since the gilt market crisis that occurred following 2022\u2019s mini-budget. With credit spreads now at historic lows, there is little room for them to tighten further, limiting the additional return an investor might expect to receive over equivalent government bonds and providing limited protection against defaults.<\/p>\n<p> <\/p>\n<p><strong>Isio\u2019s view<\/strong><\/p>\n<p>We see the downside risk of holding investment grade corporate bonds being greater than the upside. With spreads more likely to widen than to narrow further resulting in prices to fall relative to government bonds, we see an exposure for pension schemes\u2019 funding positions to deteriorate. We believe there is merit in clients reviewing and reducing their exposure to investment grade credit, or pausing any planned increases.<\/p>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Investment grade corporate bonds have generally been seen as a key building block of de-risked investment portfolios, primarily due to the asset being perceived as low risk and providing a stable income and linkage to how insurers price insurance transactions. However, from our discussions with insurers we believe the link between corporate bond spreads and insurance pricing currently to be weak, meaning buying investment grade credit prior to insurance may not be an optimal strategy. Sponsors should challenge these preconceptions at current spreads and consider other assets which could provide a better risk-return outlook.<\/p>\n<p> <\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-20007 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit.jpg\" alt=\"\" width=\"1269\" height=\"787\" srcset=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit.jpg 1269w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-300x186.jpg 300w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-1024x635.jpg 1024w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-768x476.jpg 768w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-720x447.jpg 720w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-95x59.jpg 95w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-354x220.jpg 354w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-829x514.jpg 829w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-366x227.jpg 366w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-170x105.jpg 170w\" sizes=\"(max-width: 1269px) 100vw, 1269px\" \/><\/p>\n<p> <\/p>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 3\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Uncovering the most influential Professional Trustees<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><\/p>\n<p>With the growing burden of pensions regulation, trustee boards are under pressure to have the right skillsets to run their schemes effectively. Sponsors and trustees are increasingly turning to commercial trustee firms for support. Isio\u2019s annual Independent Trustee survey uncovers the most influential firms and is a must-read for those selecting a professional trustee.<\/p>\n<p> <\/p>\n<p><strong>Isio’s view<\/strong><\/p>\n<p>The professional independent trustee market is thriving and among the most notable trends is the rise of sole trusteeship, including the increasing use of this model by larger schemes.\u200b There is also\u00a0a growing differentiation in firms which ranges from firms that are focused exclusively on trusteeship to those that offer bundled models including a range of governance and support services.<\/p>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Having skilled and experienced trustees in place can enable faster decision-making and can often ease the burden on the sponsor\u2019s management time. In addition, the Regulator is placing increased focus on the diversity of trustee boards which is further driving the growth in independent trustee\u00a0appointments. Sponsors should consider whether their existing trustees have the right skills, capabilities and diversity to help deliver their future pensions strategy.<\/p>\n<p> <\/p>\n<p><img decoding=\"async\" class=\"aligncenter\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Picture2.png\" alt=\"This image has an empty alt attribute; its file name is Picture2.png\" \/><\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/insights\/isios-2024-professional-independent-trustee-survey\/\">Read the report<\/a>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 4\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>What are DC providers planning?<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background\u200b<\/strong><\/p>\n<p>Following the launch of the Mansion House Compact in 2023, there have been increased murmurings from DC providers regarding their plans to incorporate illiquid assets into their default investment strategies. However, the degree of transparency in these plans vary, with few clearly setting out their plans beyond stating \u201cit\u2019s in the pipeline\u201d. Our DC Investment team have spoken to 12 major commercial Master Trusts on their plans for incorporating illiquid assets into their defaults.<\/p>\n<p>\u200b<\/p>\n<p><strong>Isio\u2019s view <\/strong><\/p>\n<p>We would like to see meaningful allocations to illiquid assets within DC defaults in the future with a clear plan from providers. We believe allocations should reflect diversification across managers and asset types within the \u2018illiquid\u2019 banner. We also hope providers view this as an opportunity to incorporate sustainable themes more boldly within defaults.<\/p>\n<p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Adopting illiquids assets within DC defaults should help improve outcomes for members in retirement, but how providers implement this, and when, will be important. This is a new opportunity for DC providers and we expect to see significant innovation across the market over the coming months. Our series of papers on this over the next year aims to provide transparency in providers plans and adoption of this asset class.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/05\/DC-Quarterly-update-Q1-2024.pdf\">See our DC market update<\/a>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-19997 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png.jpg\" alt=\"\" width=\"1318\" height=\"885\" srcset=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png.jpg 1318w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-300x201.jpg 300w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-1024x688.jpg 1024w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-768x516.jpg 768w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-720x483.jpg 720w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-95x64.jpg 95w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-354x238.jpg 354w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-765x514.jpg 765w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-366x246.jpg 366w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-170x114.jpg 170w\" sizes=\"(max-width: 1318px) 100vw, 1318px\" \/><\/p>\n<p> <\/p>\n<p> <\/p>\n<p>The majority of providers are moving towards a \u2018two default\u2019 route, with premium and low cost default options, although all providers are planning on including illiquids assets in at least one.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/06\/Illiquids.pdf\">Find out more about illiquids<\/a>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 5\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>\u200bPurposeful Run On \u2013 senior executives at large scheme sponsors give their view<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nWith UK DB schemes better funded than they have been for decades, employers are considering whether to take the opportunity to remove DB schemes from their balance sheets at the earliest opportunity or seek to benefit from surpluses as they emerge. Against this backdrop, we hosted a roundtable event for senior executives sponsoring large UK DB schemes.<\/p>\n<p> <\/p>\n<p><strong>Isio\u2019s view<\/strong><\/p>\n<p>The main themes emerging from the discussion are shown in our report opposite. In our view, there are several changes that could help turn DB schemes from a \u201cproblem\u201d into an \u201copportunity\u201d e.g. the legislative changes consulted on by the previous Government and better guidance from the Pensions Regulator that reflects the reality of surplus. However, for many schemes surplus can already be released gradually under existing legislation, and sponsors should find out whether this applies for their schemes.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/outpacing-change\/\">See how we are outpacing change<\/a>\n <\/div>\n\n <\/div>\n\n <div>\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<p><strong>Why it matters<\/strong><br \/>\nDeciding whether to insure at the earliest opportunity or adopt a Purposeful Run On for the medium to long-term (or something in-between) will be the most financially important decision that most trustees and employers ever agree for their schemes. The views of the sponsor are crucial, but trustees typically hold much of the power in \u201cendgame\u201d discussions. It can be easier to agree the sponsors preferred approach if it is raised early, so it is important for sponsors to quantitatively assess different options.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/PRO-roundtable-Purposeful-run-on.pdf\">View report<\/a>\n <\/div>\n \n <p class=\"text-white text-xl font-medium mb-6\"><\/p>\n \n <p class=\"text-white text-xl font-medium mb-6 mt-6\"><\/p>\n <div class=\"md:flex\">\n <\/div>\n <\/div>\n \n <\/div>\n <div x-show=\"activeTab === 6\" class=\"grid md:grid-cols-2 pt-12 gap-x-24\">\n <!-- Content for the tab goes here -->\n\n <div class=\"md:col-span-2\">\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<ul>\n<li>The appeal for the Virgin Media Ltd v NTL case, which could have implications for schemes that haven\u2019t found relevant S37 certificates,\u00a0 was heard by the Court of Appeal on the 25th June. However, it\u2019s also not clear whether the appeal ruling will clarify the position for all schemes going forward. We anticipate the judgement will be published early Autumn but this has not been made clear yet.<\/li>\n<\/ul>\n<p> <\/p>\n<ul>\n<li>Isio will be hosting its first ever Investment Conference in London this October. We would love for you to join us for an insightful afternoon where we will delve into new innovative investment strategies, societal impacts, and tomorrow’s key asset classes – against the backdrop of the new Labour government in the UK and impending elections in the US. <strong><a href=\"https:\/\/www.isio.com\/isio-investment-conference\/\"><span style=\"text-decoration: underline\">You can register here<\/span><\/a><\/strong>.<\/li>\n<\/ul>\n<p> <\/p>\n<ul>\n<li>We\u2019ll also be hosting an accounting webinar in Autumn covering what Sponsors should be thinking about from an accounting perspective at the 2024 year-end. If you’d like to receive an invite, please <a href=\"https:\/\/www.isio.com\/subscribe-to-iq\/\"><span style=\"text-decoration: underline\"><strong>join our mailing list<\/strong><\/span><\/a>.<\/li>\n<\/ul>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/subscribe-to-iq\/\">Subscribe to IQ<\/a>\n <\/div>\n\n <\/div>\n\n \n <\/div>\n <\/div>\n <\/div>\n <\/section>\n <!-- Mobile version of block -->\n <section class=\"py-6 md:hidden bg-brandGreen-100\">\n <dl class=\"container divide-y divide-white\">\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-0\" aria-expanded=\"false\">\n <span class=\"text-2xl\">Financial conditions update<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-0\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Change since 31 March 2024<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-19929 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/IQ-Isio-Quarterly-July-market-update.gif\" alt=\"\" width=\"600\" height=\"250\" \/><\/p>\n <p> <\/p>\n<p><strong>Commentary<\/strong><\/p>\n<ul>\n<li>Corporate bond and gilt yields increased by c. 0.25-0.3% and long-term inflation fell by 2-3 basis points over the quarter<\/li>\n<li>Credit spreads increased slightly (less than 5 basis points) over the quarter<\/li>\n<li>Equity markets saw a positive quarter (returning c.+3%)<\/li>\n<li>These movements are likely to have improved buyout positions due to reductions in liabilities exceeding reductions in assets<\/li>\n<li>Accounting and funding positions are also expected to have improved in general, other than for well-hedged schemes with low proportions of return seeking assets<\/li>\n<\/ul>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Accounting-in-Pensions-Post-30-June-2024.pdf\">Download a deep-dive report <\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-1\" aria-expanded=\"false\">\n <span class=\"text-2xl\">General Election results<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-1\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>New Labour government and what it could mean for pensions<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nWith Labour securing a sizeable majority their promised pensions review has the potential to be more radical and grasp some of the thornier pensions issues. Their manifesto noted this would look to improve member outcomes, ensure schemes take advantage of consolidation, and to increase productive investment in UK markets. Although they dropped plans to reintroduce the Lifetime Allowance, pensions might be seen as a convenient target for \u2018stealth\u2019 taxes when fiscal circumstances are tight.<\/p>\n<p> <\/p>\n<p><span class=\"ui-provider a b c d e f g h i j k l m n o p q r s t u v w x y z ab ac ae af ag ah ai aj ak\" dir=\"ltr\">Emma Reynolds has been confirmed as the new pensions minister. \u00a0Interestingly, she has been appointed to both the Department of Work and Pensions and the Treasury. \u00a0This may be a deliberate attempt to provide a more joined up approach to policy and dealing with two separate regulatory bodies (The Pensions Regulator and the Financial Conduct Authority).<\/span><\/p>\n<p> <\/p>\n <p><strong>Isio’s view<\/strong><\/p>\n<p>We hope the scope and timescale of a pensions review will be clarified quickly. Equally, it will be important to understand what existing pensions policy developments a new Pensions Minister will accelerate, put on the back-burner or bin altogether. Whilst ongoing initiatives such as CDCs and dashboards are likely to continue as planned there are some areas of uncertainty such as extension of auto-enrolment, DB surplus extraction and the PPF as a public sector consolidator. Proposed changes to employment laws will also see extended pay gap reporting requirements and greater policing through a Single Enforcement Body.<\/p>\n<p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Whilst the change in government is unlikely to lead to an immediate change in direction of pensions policies, there could be a re-prioritisation which employers will have to adapt to. We hope to see longstanding policy initiatives finalised quickly, e.g. the new funding code, and areas of uncertainty addressed promptly, e.g. DB surplus extraction. For any changes to employment laws, we hope time will be given for proper industry consultation.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/insights\/new-labour-government\/\">More on the government’s plans for pensions<\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-2\" aria-expanded=\"false\">\n <span class=\"text-2xl\">Investment grade credit spreads at historic lows<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-2\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Investment grade credit spreads at historic lows \u2013 time to review?\u200b<strong \/> <\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nInvestment grade corporate bond spreads have narrowed significantly since the gilt market crisis that occurred following 2022\u2019s mini-budget. With credit spreads now at historic lows, there is little room for them to tighten further, limiting the additional return an investor might expect to receive over equivalent government bonds and providing limited protection against defaults.<\/p>\n<p> <\/p>\n<p><strong>Isio\u2019s view<\/strong><\/p>\n<p>We see the downside risk of holding investment grade corporate bonds being greater than the upside. With spreads more likely to widen than to narrow further resulting in prices to fall relative to government bonds, we see an exposure for pension schemes\u2019 funding positions to deteriorate. We believe there is merit in clients reviewing and reducing their exposure to investment grade credit, or pausing any planned increases.<\/p>\n <p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Investment grade corporate bonds have generally been seen as a key building block of de-risked investment portfolios, primarily due to the asset being perceived as low risk and providing a stable income and linkage to how insurers price insurance transactions. However, from our discussions with insurers we believe the link between corporate bond spreads and insurance pricing currently to be weak, meaning buying investment grade credit prior to insurance may not be an optimal strategy. Sponsors should challenge these preconceptions at current spreads and consider other assets which could provide a better risk-return outlook.<\/p>\n<p> <\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-20007 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit.jpg\" alt=\"\" width=\"1269\" height=\"787\" srcset=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit.jpg 1269w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-300x186.jpg 300w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-1024x635.jpg 1024w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-768x476.jpg 768w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-720x447.jpg 720w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-95x59.jpg 95w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-354x220.jpg 354w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-829x514.jpg 829w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-366x227.jpg 366w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Investment-grade-credit-170x105.jpg 170w\" sizes=\"(max-width: 1269px) 100vw, 1269px\" \/><\/p>\n<p> <\/p>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-3\" aria-expanded=\"false\">\n <span class=\"text-2xl\">Isio\u2019s Independent Trustee Survey 2024<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-3\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>Uncovering the most influential Professional Trustees<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><\/p>\n<p>With the growing burden of pensions regulation, trustee boards are under pressure to have the right skillsets to run their schemes effectively. Sponsors and trustees are increasingly turning to commercial trustee firms for support. Isio\u2019s annual Independent Trustee survey uncovers the most influential firms and is a must-read for those selecting a professional trustee.<\/p>\n<p> <\/p>\n<p><strong>Isio’s view<\/strong><\/p>\n<p>The professional independent trustee market is thriving and among the most notable trends is the rise of sole trusteeship, including the increasing use of this model by larger schemes.\u200b There is also\u00a0a growing differentiation in firms which ranges from firms that are focused exclusively on trusteeship to those that offer bundled models including a range of governance and support services.<\/p>\n <p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Having skilled and experienced trustees in place can enable faster decision-making and can often ease the burden on the sponsor\u2019s management time. In addition, the Regulator is placing increased focus on the diversity of trustee boards which is further driving the growth in independent trustee\u00a0appointments. Sponsors should consider whether their existing trustees have the right skills, capabilities and diversity to help deliver their future pensions strategy.<\/p>\n<p> <\/p>\n<p><img decoding=\"async\" class=\"aligncenter\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Picture2.png\" alt=\"This image has an empty alt attribute; its file name is Picture2.png\" \/><\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/insights\/isios-2024-professional-independent-trustee-survey\/\">Read the report<\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-4\" aria-expanded=\"false\">\n <span class=\"text-2xl\">Incorporating illiquids into DC funds<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-4\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>What are DC providers planning?<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background\u200b<\/strong><\/p>\n<p>Following the launch of the Mansion House Compact in 2023, there have been increased murmurings from DC providers regarding their plans to incorporate illiquid assets into their default investment strategies. However, the degree of transparency in these plans vary, with few clearly setting out their plans beyond stating \u201cit\u2019s in the pipeline\u201d. Our DC Investment team have spoken to 12 major commercial Master Trusts on their plans for incorporating illiquid assets into their defaults.<\/p>\n<p>\u200b<\/p>\n<p><strong>Isio\u2019s view <\/strong><\/p>\n<p>We would like to see meaningful allocations to illiquid assets within DC defaults in the future with a clear plan from providers. We believe allocations should reflect diversification across managers and asset types within the \u2018illiquid\u2019 banner. We also hope providers view this as an opportunity to incorporate sustainable themes more boldly within defaults.<\/p>\n<p> <\/p>\n<p><strong>Why it matters<\/strong><\/p>\n<p>Adopting illiquids assets within DC defaults should help improve outcomes for members in retirement, but how providers implement this, and when, will be important. This is a new opportunity for DC providers and we expect to see significant innovation across the market over the coming months. Our series of papers on this over the next year aims to provide transparency in providers plans and adoption of this asset class.<\/p>\n <p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-19997 size-full\" src=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png.jpg\" alt=\"\" width=\"1318\" height=\"885\" srcset=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png.jpg 1318w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-300x201.jpg 300w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-1024x688.jpg 1024w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-768x516.jpg 768w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-720x483.jpg 720w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-95x64.jpg 95w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-354x238.jpg 354w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-765x514.jpg 765w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-366x246.jpg 366w, https:\/\/www.isio.com\/app\/uploads\/2024\/07\/Illiquids-for-DC-providers-table.png-170x114.jpg 170w\" sizes=\"(max-width: 1318px) 100vw, 1318px\" \/><\/p>\n<p> <\/p>\n<p> <\/p>\n<p>The majority of providers are moving towards a \u2018two default\u2019 route, with premium and low cost default options, although all providers are planning on including illiquids assets in at least one.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/06\/Illiquids.pdf\">Find out more about illiquids<\/a>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/05\/DC-Quarterly-update-Q1-2024.pdf\">See our DC market update<\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-5\" aria-expanded=\"false\">\n <span class=\"text-2xl\">PRO event for large scheme sponsors<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-5\" style=\"display: none;\">\n <div class=\"\">\n <div class=\"mb-10\">\n <p class=\"text-2xl font-light text-white\"><strong>\u200bPurposeful Run On \u2013 senior executives at large scheme sponsors give their view<strong \/><\/p>\n <\/div>\n <div class=\"text-white text-xl font-light\">\n <p><strong>Background<\/strong><br \/>\nWith UK DB schemes better funded than they have been for decades, employers are considering whether to take the opportunity to remove DB schemes from their balance sheets at the earliest opportunity or seek to benefit from surpluses as they emerge. Against this backdrop, we hosted a roundtable event for senior executives sponsoring large UK DB schemes.<\/p>\n<p> <\/p>\n<p><strong>Isio\u2019s view<\/strong><\/p>\n<p>The main themes emerging from the discussion are shown in our report opposite. In our view, there are several changes that could help turn DB schemes from a \u201cproblem\u201d into an \u201copportunity\u201d e.g. the legislative changes consulted on by the previous Government and better guidance from the Pensions Regulator that reflects the reality of surplus. However, for many schemes surplus can already be released gradually under existing legislation, and sponsors should find out whether this applies for their schemes.<\/p>\n <p> <\/p>\n<p><strong>Why it matters<\/strong><br \/>\nDeciding whether to insure at the earliest opportunity or adopt a Purposeful Run On for the medium to long-term (or something in-between) will be the most financially important decision that most trustees and employers ever agree for their schemes. The views of the sponsor are crucial, but trustees typically hold much of the power in \u201cendgame\u201d discussions. It can be easier to agree the sponsors preferred approach if it is raised early, so it is important for sponsors to quantitatively assess different options.<\/p>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/app\/uploads\/2024\/07\/PRO-roundtable-Purposeful-run-on.pdf\">View report<\/a>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/outpacing-change\/\">See how we are outpacing change<\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <div class=\"py-5 border-1\">\n <dt>\n <!-- Expand\/collapse question button -->\n <button type=\"button\" class=\"flex w-full items-start justify-between text-left text-white\" aria-controls=\"faq-6\" aria-expanded=\"false\">\n <span class=\"text-2xl\">Looking forward to next quarter<\/span>\n <span class=\"md:ml-6 flex h-7 items-center\">\n <svg class=\"h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <svg class=\"rotate-180 hidden h-6 w-6 inline-block relative md:left-5 md:-top-2\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"13\" viewBox=\"0 0 24 13\" fill=\"none\">\n <path d=\"M1.5 1.5L12 12L22.5 1.5\" stroke=\"white\" stroke-width=\"2\" stroke-linejoin=\"round\" \/>\n <\/svg>\n <\/span>\n <\/button>\n <\/dt>\n <dd class=\"mt-5 pr-12\" id=\"faq-6\" style=\"display: none;\">\n <div class=\"md:col-span-2\">\n <div class=\"text-white text-xl font-light\">\n <p> <\/p>\n<ul>\n<li>The appeal for the Virgin Media Ltd v NTL case, which could have implications for schemes that haven\u2019t found relevant S37 certificates,\u00a0 was heard by the Court of Appeal on the 25th June. However, it\u2019s also not clear whether the appeal ruling will clarify the position for all schemes going forward. We anticipate the judgement will be published early Autumn but this has not been made clear yet.<\/li>\n<\/ul>\n<p> <\/p>\n<ul>\n<li>Isio will be hosting its first ever Investment Conference in London this October. We would love for you to join us for an insightful afternoon where we will delve into new innovative investment strategies, societal impacts, and tomorrow’s key asset classes – against the backdrop of the new Labour government in the UK and impending elections in the US. <strong><a href=\"https:\/\/www.isio.com\/isio-investment-conference\/\"><span style=\"text-decoration: underline\">You can register here<\/span><\/a><\/strong>.<\/li>\n<\/ul>\n<p> <\/p>\n<ul>\n<li>We\u2019ll also be hosting an accounting webinar in Autumn covering what Sponsors should be thinking about from an accounting perspective at the 2024 year-end. If you’d like to receive an invite, please <a href=\"https:\/\/www.isio.com\/subscribe-to-iq\/\"><span style=\"text-decoration: underline\"><strong>join our mailing list<\/strong><\/span><\/a>.<\/li>\n<\/ul>\n <a class=\"my-5 btn-primary btn-white \" href=\"https:\/\/www.isio.com\/subscribe-to-iq\/\">Subscribe to IQ<\/a>\n <\/div>\n <\/div>\n\n <\/dd>\n <\/div>\n <\/dl>\n <\/section>\n\n\n\n\n\n\n<section class=\"text-wrapper text-block medium-width \">\n <div class=\"container\">\n <div class=\"acf-innerblocks-container\">\n\n<h2 class=\"wp-block-heading\" id=\"h-join-our-mailing-list\">Join our mailing list<\/h2>\n\n\n\n<p><strong>Get the next issue of Isio Quarterly delivered straight to your inbox<\/strong><\/p>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-1 wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button has-custom-width wp-block-button__width-50\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/share-eu1.hsforms.com\/1Dlz5t4JiSEmTgQ-fFhEcoQg43y5\" target=\"_blank\" rel=\"noreferrer noopener\">Subscribe now<\/a><\/div>\n<\/div>\n\n<\/div>\n <\/div>\n<\/section>\n\n","protected":false},"excerpt":{"rendered":"<p>Isio\u2019s quarterly pensions update for sponsors, summarising key events from the quarter and looking ahead to what\u2019s coming up.<\/p>\n","protected":false},"author":3,"featured_media":20134,"template":"","meta":{"_acf_changed":false,"footnotes":""},"news-category":[41],"class_list":["post-19573","news","type-news","status-publish","has-post-thumbnail","hentry","news-category-isio-quarterly"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.8 (Yoast SEO v23.8) - 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