The Bromley Council Pensions Committee was scheduled to meet to discuss the pension fund's performance, and a review of the fund's strategic asset allocation. Also on the agenda was a discussion of a business case for Buckinghamshire Pension Fund to join the London Collective Investment Vehicle.

Strategic Asset Allocation

The committee was expected to consider proposed changes to the Pension Fund's Strategic Asset Allocation (SAA). A report in the agenda pack noted that the current SAA was last changed in 2019, with a small change in November 2024 to increase UK property holdings. The current allocation is 57% global equities, 15% multi-asset income, 13% fixed income, 10% UK property, and 5% international property.

The report stated that Apex Investment Advisory was commissioned to carry out a review of strategy, and their report was included as an appendix. The Apex Strategic Asset Allocation Review presented six options: the current allocation, the current SAA, and four alternative options. The recommendation in that report was alternative option 1 with 5% allocation to each of index-linked gilts and social/affordable housing, 3% increase to global equities, and 7% increase to fixed income (corporate bonds and conventional gilts), with full divestment of multi-asset income funds and cash proceeds from international property.

The Chairman and Vice-Chairman of the Committee had previously circulated proposed allocations to committee members, detailed in an email from the Vice-Chairman to Committee Members:

• 60% Global Equities
• 25% Fixed Income
  • 15% Conventional Gilts
  • 5% Index-linked Gilts
  • 5% UK Corporate Bond Fund
• 10% UK Property
• 5% Social Housing/Projects

The committee was also expected to note that the London CIV will have a role in implementing the strategy.

Pension Fund Performance

The committee was scheduled to discuss the investment performance of Bromley's Pension Fund in the second quarter of 2025/26. The report in the agenda pack included information on financial and membership trends, early retirements, and key developments in the Local Government Pension Fund (LGPS) expected over the next five years.

The report included a quarterly performance report from Apex, which stated that the fund valuation had reached over £1.6 billion, with a 5.9% return over the third quarter of 2025.

The Fund valuation has now reached over £1.6bn having returned 5.9% over the third quarter of 2025 driven by strong returns across almost all asset classes with the exception of UK Government Gilts. App 5 - Quarterly Investment Report

The Apex report noted that both global equity managers underperformed their benchmark over the quarter, as US mega-sized tech stocks dominated returns.

Buckinghamshire Pension Fund joining London CIV

The committee was also scheduled to consider a business case for Buckinghamshire Pension Fund (BPF ) to join London CIV. The document in the agenda pack stated that BPF's stated reasons for wanting to join London CIV include:

1. Access to London CIV Authorised Contractual Scheme (ACS)
2. Enhanced Governance and Regulatory Compliance
3. Broad solutions and investment approach

The document stated that if BPF joined London CIV, it was expected to bring additional revenues of approximately £1.5 million annually for London CIV.

Based on the current split of assets in the BPF we expect additional revenues for London CIV of approximately £1.5m annually. App 7 - Business Case to Join LCIV

The document recommended that the existing shareholders of London CIV approve the request from BPF to join London CIV.

Other Matters

The agenda also included:

• Confirmation of the minutes of the meeting held on 28 August 2025, excluding those containing exempt information.
• Updates from the Chairman, Director of Finance, and Pensions Investment Advisor.

The agenda included a motion to exclude the press and public during consideration of some items of business due to the likely disclosure of exempt information. These items included confirmation of exempt minutes from 28 August 2025, further discussion of the strategic asset allocation, and updates from the Chairman/Director of Finance/Pensions Investment Advisor.

Councillor Christopher Marlow, Vice-Chairman of the Pensions Committee had previously circulated an email to committee members setting out the rationale for the proposed SAA.

John Arthur, Senior Advisor at Apex Group Ltd, provided comments on the Strategic Asset Allocation review. He stated that he preferred option 1 in the Apex report, and that he thought there were decisions to be taken below the level of the Strategic Asset Allocation, particularly within global equities.

The meeting was scheduled to be held at the Bromley Civic Centre, Churchill Court, 2 Westmoreland Road, Bromley, BR1 1AS.