The Fund’s investments aim to meet the cost of providing benefits for its members, and it is the responsibility of the Trustee to invest the Fund’s assets in members’ best interests.
Following the previous year's significant market volatility, financial markets were calmer in the year to 31 March 2024. Nevertheless, regional conflicts continued, high inflation persisted, and central bank interest rate expectations increased, leading to increases in bond yields. This caused both the Fund’s Matching Assets (whose value is expected to move in line with the Fund’s liabilities) and its liabilities to fall in value.
To be self-sufficient and manage the assets of the Fund in a prudent way with the aim of meeting that objective by 2031.
To invest carefully, into diverse portfolios and at appropriate risk, so that members can be provided with the benefits promised to them.
To balance both risk and return through the right mix of investments, with some that protect the funding position, and others that are designed to eliminate the shortfall over time.
£4,757.9m
The Fund’s combined assets as at 31 March 2024.
£5,245.3m
The Fund’s combined assets as at 31 March 2023.
The Nationwide Section’s investment returns, compared against the benchmark over one year and three years to 31 March 2024 was as follows:
You can read more about the Fund’s investments and performance in the Annual Report & Accounts at nationwidepensionfund.co.uk/library
The Trustee acts in the best interests of the Fund and its members by achieving the best possible investment returns (to help its money to grow).
To meet this commitment, and to protect and enhance the value of these investments, the Trustee has a responsible investing strategy. This means it balances getting positive investment returns while considering Environmental, Social and Governance (ESG) factors.
The Trustee believes that taking ESG factors into account when investing can have a positive impact on investment returns and lead to better informed decisions about our investments.
You can find more information about our approach to responsible investing in our Responsible Investing Policy document at nationwidepensionfund.co.uk/library
Environmental
Social
Governance
The Trustee believes that climate change is one of the most significant global challenges of this century. Markets are not adequately pricing in the risks associated with climate change, and companies which are exposed to such risks are less equipped to find other means to replace the potential revenue loss from a transition to a low-carbon economy.
Given the Trustee’s concerns, climate risks and opportunities continue to be discussed and considered at every level of the Fund.
You can find our latest Climate Risk Report at nationwidepensionfund.co.uk/library
