INVESTMENTS

Risk management is an essential building block of LGIM’s approach to management.

As one of the UK’s largest investment management groups, our fund managers have a long history of managing risk within fund and client guidelines. From consistently replicating market indices through our index funds to managing the effects of the credit crisis within our range of active fixed income portfolios, we are experts in adapting to a changing marketplace.

Risk management is critical for our business and of utmost importance to our investors. In order to ensure different types of risks are given an explicit focus, independent oversight is given to market, credit, liquidity, operational, regulatory and legal risks. These risk management activities have separate reporting lines to our investment teams and are overseen by a governance framework of senior committees and ultimately the Board.

While our size allows us to deploy significant resource behind understanding and managing the legal, regulatory and operating environment, it is the proven processes, experience and skill of our teams which we believe is critical to ensuring risk is managed effectively.