Royal Mail Pension Plan appoints River and Mercantile to options mandate

River and Mercantile Group has been appointed to manage a £700 million options mandate for Royal Mail Pension Plan. R&M was appointed by Royal Mail Pension Plan in April and the structure of the mandate was designed and executed throughout May.

James Barham Global Head of Distribution at R&M, commented: “This is a very significant appointment for R&M and highlights the tangible benefits of using structured equity to manage equity risks.”

Ian McKnight, Chief Investment Officer at Royal Mail Pension Plan, said: “We are constantly seeking new ways to drive and manage returns on behalf of our members in the most efficient and risk-focused manner possible. Today’s announcement is part of our ongoing risk mitigation investment strategy.”