BlackRock has been chosen to serve as the outsourced CIO of British Airways Pensions’ £21.5 billion ($30 billion) Airways Pension Scheme (APS) and New Airways Pension Scheme (NAPS), according to multiple news reports.
This is believed to be the biggest transfer of its kind to an external investment manager.
This is Money reports that British Airways Pension Investment Management Limited (BAPIML), which until now has managed the accounts, is making the shift in response to more regulation, higher operational costs and increasing investment complexity in the market.
PwC, the second-largest professional services network in the world, assisted with the outsourcing to BlackRock. Keira-Marie Ramnath, pensions asset management outsourcing lead at PwC, said the new structure retains some of the best features of an “in-house manager,” and combines these with the efficiency and scale of a large “outsourced manager” that an entity such as BlackRock offe
