GAD’s specialist Investment & Risk team undertakes a wide variety of assignments for public sector bodies on issues such as investment strategy, risk modelling, and project risk management. Acknowledging and understanding the inherent uncertainty in future events is an essential part of any decision making.
How GAD can help you
- Choice of an investment strategy. This is an important decision for all funded defined benefit pension schemes, defined contribution (including AVC) default funds and other organisations with investments. We will work with you to help set clear objectives and structure your investments to maximise the chance of meeting these.
- Risk Modelling and quantification. As well as the risks faced by traditional pension funds, GAD can help organisations to understand the unique risks that they may face. For example, GAD has advised the Board of the PPF on areas including long-term risk modelling, economic scenario generation and credit risk. We have also used stochastic modelling to compare outcomes for different collective defined contribution pension scheme designs and assisted with the wider use of such models within Government for policy-development purposes. Our decision maker's guide to modelling provides further discussion on how to get the most out of long-term financial modelling and what we believe to be best practices in building and using financial models.
- Quality assurance and review. GAD can review your modelling approach and provide a valued external opinion. For example, GAD has provided assurance to the management of the Asset Protection Agency on the methodology and assumptions used to forecast losses and the approach to valuing the Asset Protection Scheme. (The Asset Protection Scheme is HM Treasury’s scheme to underwrite credit losses on some banks’ complex financial assets.)
- Project and Enterprise Risk. GAD can provide assistance in measuring and quantifying the risks arising in a project or across an organisation. For example, GAD has been involved in the quantification of reputational risk for the Registers of Scotland and together with a working party from the Government-wide Risk Improvement Group, has produced a guide on Risk Analysis and Management for Projects (RAMP) for public sector bodies.
Investment & Risk Publications
GAD produces monthly newsletters summarising the latest market and economic news and providing a brief article on a topic of interest. Past editions of these can be found online.
Contact us
To discuss your requirements, please email enquiries@gad.gov.uk, or phone +44 (0)20 7211 2748