Advisory Services

We provide institutions with consultancy and advisory services in the following areas:

  • Strategic investment reviews and advice
  • Specific investment evaluations and reviews
  • Investment decision support
  • Credit evaluations and corporate covenant reviews
  • Technical support on risk evaluations and regulatory impact assessments

We focus on working with a limited number of clients and so are able to provide Director level experience and expertise on each assignment.

Case Studies

Investment Strategy Review

Advised the sponsor of a defined benefit pension scheme on how the scheme asset allocation could be revised with the aim of reducing the current escrow requirements and the future funding risks of the company. Our proposals were reviewed and accepted by the scheme trustees and their investment advisors and actuaries, and we were retained to advise them on the implementation of the strategy.

Investment Risk Review

IIA was invited by a major Lloyd’s of London insurance company to review their current asset allocation and present recommendations to the Investment Committee on how they could restructure their investment portfolio to reduce their exposure to yield curve movements, whilst improving their risk-adjusted returns.

Credit Market Investment Reviews

Since 2011 IIA has been an appointed member of the Consultants Bench at Lancashire County Pension Fund (‘LCPF’), and has carried out a number of due diligence assignments on a variety of conventional and bespoke credit investments for LCPF.

Credit Committee Assignment

Since 2011 we have been supporting a banking client by acting as independent member of their Credit Committee which approves and oversees investments in high yield European loans and bonds. The Committee usually meets at least once a week, and as a result we have a high level of awareness of the issuers, structures and market developments in the European sub-investment grade credit markets.

Covenant Risk Review

IIA was appointed to undertake a covenant review for the trustees of a major UK financial group's pension funds.

  • We undertook a detailed analytical study of (a) the quality of the covenant, and (b) the quantity and volatility of the covenant exposure. This work enabled us to provide a number of recommended action points for the trustees.
  • As part of the covenant review we identified a suite of market based and analytical Key Indicators in order to provide the trustees with an insight into the evolving status of the covenant for regular monitoring purposes.
  • We were subsequently retained to advise the trustees on the mitigation of the covenant risk and possible implementation options around scheme funding and investment strategy. These options were used to inform discussions with the sponsoring employer.

Solvency II Assignments

In 2010 IIA was commissioned by JPMorgan Asset Management to write a report on the investment implications of the draft Solvency II capital requirements for distribution to its clients. Subsequent to this IIA was appointed to assist the Association for Financial Markets in Europe in liaising with the regulators to recalibrate an appropriate set of risk weightings for securitised assets. These assignments have proved to be very helpful when working with our insurance sector clients.