The National Employment Savings Trust has appointed State Street Global Advisors, UBS Global Asset Management and BlackRock to run five mandates for its default fund.
The three asset management firms will run five mandates - a passive global equity brief; a passive UK fixed gilt mandate; a passive UK index-linked gilt portfolio; a sterling cash offering; and a diversified beta fund mandate.
UBS Global Asset Management has won passive global equity brief with its UBS Life World Equity Tracker Fund.
State Street Global Advisors won the passive UK fixed gilt and passive UK index-linked gilt business with its State Street UK Conventional Gilts All Stocks Index Fund and State Street UK Index-Linked Gilts Over 5 Years Index Fund.
BlackRock will provide NEST with sterling cash and diversified beta funds using the BlackRock Aquila Cash Fund and the BlackRock Aquila Life Market Advantage Fund.
NEST said these funds would together provide the building blocks for its yearly target date funds, its default fund offering.
The appointments come on the back of huge demand from asset managers to manage the funds.
Last month, NEST had received 163 individual expressions of interest from fund managers to run the five mandates.
From the initial expressions of interest received, 58 asset managers made formal request for proposal submissions for the five mandates, with the diversified beta fund leading the pack with 21 RFPs.
The low-risk cash management brief had 18; global equity received eight; UK fixed interest gilts had five and UK index-linked gilts had six
NEST has also put out mandates to run a pooled SRI equity fund and a Shariah compliant global equity fund.
The deadline submissions to run the SRI fund was 14 January. The entry period to tender for the Shariah fund ends at 11am tomorrow.
As first reported by IFAonline's sister site Professional Pensions.
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