Local Government Pension Scheme (LGPS) funds have been urged to consider the potential implications of the Russian invasion of Ukraine on their investment portfolios.

In an update on its website, the Scheme Advisory Board for England and Wales called on funds in the LGPS to discuss with their asset managers and pools what action should “prudently” be taken.

The events in Ukraine and potential sanctions by the UK government were specified as reasons to assess portfolio exposure to Russian assets.

The board stated: “In the light of events in Ukraine and resultant extant, and potential sanctions by the UK government, any LGPS funds who are not already doing so are advised to consider the implications for their investment portfolios and discuss with their pools and asset managers what action should prudently be taken.”

Other pension schemes in the UK have already been taking action on their portfolios' exposure to Russian investments.

Speaking to BBC Radio 4’s Today programme, Universities Superannuation Scheme chief executive, Simon Pilcher, said that the scheme was looking to offload the £450m of assets linked to Russia that it is invested in.

According to Pilcher, the scheme had already sold off around half of the Russian-linked investments in its portfolio.

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