Border to Coast Launches £2.6bn Global Multi-Factor Equity Index Fund
Deal News | Jun 12, 2025 | Border to Coast Pensions Partn
Border to Coast Pensions Partnership has introduced its first index fund, the £2.6bn Global Multi-Factor Equity Index Fund, designed in cooperation with its Partner Funds to offer significant cost savings and enhanced global equity propositions. By pooling resources with strategic partners like BlackRock and STOXX, the fund aims to deliver reduced fees leveraging collective scale. It integrates five traditional fundamental factors—Value, Momentum, Quality, Low Volatility, and Size—while maintaining control over fund evolution, including decarbonisation and exclusions. This initiative underscores Border to Coast's commitment to responsible investment, aligning with Partner Funds' long-term strategies. The index fund enhances Border to Coast's platform, offering a blend of active management sophistication with cost-effective index investing, reflecting a concerted effort in moving towards pooling in investment climates.
Sectors
- Financial Services
- Investment Management
- Pension Funds
Geography
- United Kingdom – Border to Coast Pensions Partnership is based in the United Kingdom, and the article mentions UK Partner Funds participating in the launch.
Industry
- Financial Services – The article discusses a new financial investment product, a Global Multi-Factor Equity Index Fund, launched by a pension partnership firm, demonstrating activity within financial services.
- Investment Management – The involvement of BlackRock and the strategy around global equity index investing exemplifies investment management practices.
- Pension Funds – The fund launch is specifically targeted at pooling assets from pension funds, highlighting the role of pension funds in collective investment strategies.
Financials
- £2.6bn – The size of the Global Multi-Factor Equity Index Fund launched by Border to Coast.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Border to Coast Pensions Partnership | Target Company | Company | A public sector pension fund partnership in the UK, launching its first index fund. |
| BlackRock | Investment Manager | Company | Global investment manager appointed to manage the index fund proposition. |
| STOXX | Index Administrator | Company | Providing expertise in index administration and factor-based solutions for the fund. |
| Tyne and Wear Pension Fund | Partner Fund | Company | One of the Partner Funds involved in the collaborative development of the index fund. |
| Lincolnshire Pension Fund | Partner Fund | Company | A key Partner Fund involved in the creation of the new fund. |
| Cllr Ken Dawes | Chair of Tyne and Wear Pension Fund Committee | Person | Spokesperson praising the new initiative and the collaboration involved. |
| Jo Kempton | Head of Lincolnshire Pension Fund | Person | Provided insight into the benefits of the new index fund strategy. |
| Graham Long | Head of Portfolio Solutions at Border to Coast | Person | Commented on the strategic importance and benefits of the new index fund. |