Standard Life completed the final stage of its £15bn defined contribution (DC) asset transition into sustainable multi asset solutions in October 2022, the pension provider has announced.

As part of this work, the provider embedded a range of responsibly invested, sustainable multi asset funds for its 1.5 million workplace pension scheme members, with assets of around £15bn now invested in sustainable solutions on their behalf.

This programme was completed two months earlier than the end of year timeline previously announced in January 2022.

The move was executed in a number of phases, starting with the adoption of a sustainable multi asset solution for 87,000 members of the Standard Life Master Trust in February 2022.

This was followed by the transition of 1.2 million members in the Active Plus and Passive Plus III Growth Pension Fund, and £11.4bn in assets, to a sustainable multi asset responsible investment solution.

The programme successfully concluded in October when around 200,000 members invested in Active Plus and Passive Plus I, II, IV, and V fund ranges were switched into responsible investment solutions.

Similar sustainable solutions were previously introduced for new members in 2020.

More broadly, Standard Life has also increased the responsible investing content of the growth fund in its Sustainable Multi Asset Universal Strategic Lifestyle Profile, which integrates clear environmental, social and governance (ESG) targets designed to manage pension growth through positive outcomes.

This includes a 50 per cent reduction in carbon emissions, screening out of controversial weapons, tobacco production, thermal coal and unconventional oil and gas, while also driving positive change through increased stewardship.

The fund’s increased equity exposure is also underpinned by ESG components of up to 79 per cent, with Standard Life aiming to extend this further by the end of the year.

Standard Life workplace managing director, Gail Izat, commented: “We set out to offer an outcomes-based, future proofed responsible investment proposition not just for new joiners to workplace schemes but for those who have been loyally saving with us for many years too.

“It’s been a massive undertaking to successfully implement the switch of over 1.5 million existing members and transfer £15bn in assets to our sustainable multi asset investment solutions.

“Our members tell us they want to balance growth and risk while protecting the environment and avoiding harm through their investment choice. Our sustainable multi asset solutions help them do this, knowing we’re investing their money responsibly.”

Indeed, previous research from Standard Life found that 84 per cent of savers want to avoid harm with their investments, while 90 per cent felt that it was important to protect the environment.

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