London CIV, an investment pool for Local Government Pension Scheme (LGPS) funds in London and Buckinghamshire, manages approximately £60 billion in assets, with £38 billion actively managed by the organisation itself. London CIV is focused on implementing investment strategies and responsible investment practices at a pool level, while also providing strategic asset allocation advice to its partner funds.
During a recent update, it was noted that London CIV will assume responsibility for implementing the Brent Pension Fund's investment strategy from April 2026. This development aligns with the broader 'Fit for the Future' reforms impacting the LGPS.
The 'Fit for the Future' reforms, effective from 29 June 2026, introduce new regulations covering asset pooling, local investment, and governance arrangements. Key changes include the requirement for an Investment Strategy Statement by March 2027, the appointment of a Senior Responsible Officer and an Independent Person, and mandatory independent governance reviews. These reforms are impacting the LGPS broadly, with funds already well-advanced in asset pooling, with 93% of assets managed through London CIV. The reforms also strengthen requirements around knowledge and skills for those involved in LGPS governance.
As a result of these reforms, the committee's focus will shift towards oversight and assurance of pooling arrangements rather than direct investment implementation. New governance arrangements include the appointment of a Senior Responsible Officer and an Independent Person, and the requirement for independent governance reviews.
London CIV's approach to responsible investment will be implemented at a pool level, indicating how these practices will be applied to partner funds such as the Brent Pension Fund. While specific details on current practices are not elaborated, the focus on responsible investment at the pool level is a key aspect of their strategy.
This transition is part of a wider trend within the LGPS, with many funds already significantly pooled. The reforms aim to enhance efficiency, governance, and investment outcomes across the scheme.
For more information on the 'Fit for the Future' reforms, refer to the Public reports pack.
