Press releases

Deloitte moves £1bn pensions investment to sustainable fund

30 June 2021

Deloitte has today announced that it is introducing a new default pension fund that places a greater focus on sustainability for all of its 35,000 Deloitte pension plan members in Standard Life’s Master Trust. The move is part of the firm’s wider climate change and sustainability commitments, as set out in its WorldClimate strategy to drive responsible climate choices both inside and outside of our organisation.

The Aberdeen Standard Investments (ASI) Sustainable World Index Fund assesses investments across environmental, social and governance (ESG) factors, while also supporting markets and organisations that contribute to a more sustainable future and will see Deloitte become its largest investor with £1bn of pensions investment moving into the fund. Deloitte’s workplace scheme is managed by Standard Life and anyone who does not wish to transfer their pension to the new fund is able to explore several alternative options.

Stephen Griggs, Deloitte UK Managing Partner, said: “This is the first step on the journey to improving the sustainability of our pensions and we are committed to continuing to review the funds being developed in the market so that we can provide the best options to our members.

“With the effects of climate change more urgent than ever, it’s important that we all - businesses and individuals alike - take action where we can. This change is a result of direct feedback from our people telling us that being a more sustainable firm matters to them.

“It is important that our firm sets and meets higher standards for itself when it comes to sustainability. This includes making sure our decision-making aligns to our sustainability commitments, including where we decide to make investments.”

Gail Izat, Workplace Managing Director at Standard Life, commented: “We are delighted to have helped Deloitte transition their default fund to the ASI Sustainable World Index Fund. At Standard Life, we know that many of our workplace clients share our ambition of creating a greener planet for future generations, and we strive to work collaboratively to help them achieve those ambitions. As the largest scheme to date to switch to a sustainable default fund, we look forward to continuing to support Deloitte’s 35,000 members.”

Chris Demetriou, CEO – UK, EMEA & Americas, Aberdeen Standard Investments, said: “The investment from Deloitte’s pension scheme bears testimony that there is a strong demand from investors for sustainable outcomes while retaining the traditional benefits of index funds. Our research illustrated that pension schemes increasingly require materially improved sustainable outcomes beyond what an equity tracker can deliver, hence we created the ASI Sustainable Index World Equity Fund which we believe is an important step towards expanding ESG investment opportunities for pension schemes.”

Griggs added: “I am very proud of this move and I’m grateful to the teams who were behind making this exciting development happen. For me, this is a clear demonstration of the actions businesses can take to focus their investments to support a sustainable future for the generations to come.”

-Ends-

Notes to editors

Deloitte’s pension scheme continues to be managed by Standard Life Assurance Ltd, a subsidiary of Phoenix Group. Aberdeen Standard Investments is a strategic asset management partner of Phoenix Group.

All of Deloitte’s UK people who are members of the Deloitte Pension Plan and currently invest in the default pension will be automatically moved to the new Aberdeen Standard Investments (ASI) Sustainable Index World Equity Fund.

About WorldClimate

WorldClimate is Deloitte’s global climate and sustainability strategy.

To help the world achieve the goals of the Paris Agreement, Deloitte has committed to reaching net zero emissions by 2030. WorldClimate sets out ambitious carbon reduction targets, fully verified by the Science Based Targets Initiative (SBTI) and has secured Deloitte’s participation in the UN’s Race to Zero coalition. Through WorldClimate Deloitte has also committed to all three of the core global initiatives of the Climate Group; supporting renewable energy (RE100), electric vehicle adoption (EV100) and energy efficiency (EP100) – one of only 12 companies who have made this triple commitment.

The strategy embeds sustainability and environmental considerations throughout the entire business and empowers all Deloitte professionals to help drive the transition to a low-carbon economy. Determined to drive climate action fast, WorldClimate is Deloitte’s commitment to address the urgent climate crisis with achievable, measurable and science-based actions, and engages the firm’s wider ecosystem to do the same.

About Deloitte

In this press release references to “Deloitte” are references to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”) a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see deloitte.com/about for a detailed description of the legal structure of DTTL and its member firms.

Deloitte LLP is a subsidiary of Deloitte NSE LLP, which is a member firm of DTTL, and is among the UK's leading professional services firms.

The information contained in this press release is correct at the time of going to press.

For more information, please visit www.deloitte.co.uk.

About Aberdeen Standards Investments

Aberdeen Standard Investments is a global asset manager dedicated to creating long-term value for our clients. With over 1,000 investment professionals, we manage £456.9 billion* of assets worldwide. We have clients in c.80 countries supported by over 40 offices globally. This ensures we are close to our clients and the markets in which we invest. (*as of 31 December 2020)

We are high-conviction, long-term investors who believe teamwork and collaboration are the key to delivering repeatable, superior investment performance.

You can access the Aberdeen Standard Investments media centre here: https://www.aberdeenstandard.com/news-and-media

About Standard Life

Standard Life is a brand that has been trusted to look after peoples’ life savings for nearly 200 years

Today it proudly serves millions of customers who come to Standard Life directly, through advisers and through their employers’ pension scheme.

Standard Life is part of the Phoenix Group, the largest long-term savings and retirement business in the UK. We’re proud to be building on nearly 200 years of Standard Life heritage together.

Our products include a variety of Pensions, Bonds and Retirement options to suit people’s needs, helping our customers to invest and save for their future. We’re proud to offer a leading range of sustainable and responsible investment options.

We support our customers on their journey to and through retirement with comprehensive, easy-to-understand guidance so they can invest in the right way for their needs and plan a future they feel confident about.

The value of investments can go down as well as up and may be worth less than originally invested.

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