Mercer commits £350m to private markets for UK workplace pensions
The fund is expected to go live in early 2026, subject to approval from the Financial Conduct Authority (FCA).
Mercer, part of Marsh McLennan, will invest £350m in the new Schroders Mercer Private Assets Growth Long-Term Asset Fund (LTAF) for its UK workplace savings solutions, including its master trusts.
The fund is expected to go live in early 2026, subject to approval from the Financial Conduct Authority (FCA).
The LTAF will be managed by Schroders Capital, with Future Growth Capital Limited as the delegated investment manager.
Mercer representatives will join a joint investor advisory committee for ongoing governance.
The fund will allocate capital to investment mandates from Mercer, Schroders Capital and third-party managers.
It will be the main vehicle for private market allocations for the Mercer Master Trust and now:pensions Master Trust.
Trustee boards want to allocate at least 10% of default pension fund assets to private markets by 2030, with at least 5% invested in the UK.
The LTAF will sit in the growth portfolios and focus on private equity and infrastructure equity, while holding listed equities to meet liquidity needs.
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