River and Mercantile appoints PTL for DC Fiduciary Management value for members review

The fiduciary management arm of investment specialist River and Mercantile (R&M) has appointed PTL to conduct an independent value for members review of its portfolio of defined contribution fiduciary management (DCFM) pension scheme clients. 

This will assist R&M’s DCFM clients with the preparation of their annual Chairs’ statements.

Building on its long heritage as a fiduciary manager, the DC Solutions team at River and Mercantile has nine years’ experience of offering fiduciary management to DC schemes. Moving beyond the traditional approach of blending diversified growth funds, DCFM combines diversification and dynamic asset allocation, with all the investment consulting and governance services needed by DC schemes. 
PTL will leverage its expertise in value-for-money assessment to deliver a report for distribution to R&M’s fiduciary DC clients, for use in preparation of their Chairs’ annual statements. This report will consider value for members across a wide range of categories, including overall costs, transaction costs, investment strategy, performance, risk and governance, as well as ESG and stewardship.
The service will be delivered by PTL’s Governance Advisory Arrangement (GAA) committee, which currently assesses value for members for 20 providers of workplace personal pensions and/or investment pathways providers.
Niall Alexander, Director, Solutions and Head of DC at River and Mercantile, says: “When we launched DCFM in 2011, the provision of good value was a key objective – even before regulation made it a requirement. We are firmly committed to good governance and transparency, and invite PTL to get right ‘under the hood’ to assess the value we bring our clients.
“Having considered a number of providers, we are delighted to appoint PTL for this review. The decision was based on their knowledge of the regulations and their application, and their thoroughness. We are proud to be a fiduciary manager that takes the financial security of its DC pension scheme clients (and their members) seriously and this review will help assure those clients that their employees’ financial future is in good hands.” 
Keith Lewis, Chair of the PTL GAA, says: “We’re impressed by R&M’s desire to lead the way in demonstrating cost transparency, governance, and value for money, which is underscored by their appointment of PTL to provide an independent assessment. PTL is uniquely placed to deliver this review, bringing a detailed understanding of the regulation around assessing value for members and transaction costs, as well as extensive experience of drafting Chairs’ statements for our own DC clients. We look forward to applying this for the ultimate benefit of R&M’s DCFM clients.”