TPT Investment Management (TPTIM) has launched a new £720m investment grade bond fund, designed to provide UK pension schemes with access to a wide range of investment opportunities in the public investment grade bond universe.

The fund, which has received initial seeding capital from TPT's defined benefit (DB) master trust, is the fifth of TPTIM's seven planned fund launches, and is set to play an "important role" in the firm's endgame solutions.

Investing in predominantly public investment grade bonds with a low probability of default over the long term, the fund is designed to enable pension schemes to immediately achieve scale benefits across asset classes by aggregating with the assets in the master trust.

Access to the new fund is available through TPT’s new fiduciary management service, launched in October 2024, which aims to help schemes to benefit from increased diversification, better value, high quality governance, and ongoing investment expertise.

TPTIM portfolio manager for the fund, Amar Jethwa, highlighted the launch of the fund as demonstration of TPTIM's commitment to helping pension schemes achieve long-term security through "expertly designed investment vehicles".

"With the launch of the investment grade bond fund, TPTIM continues to deliver solutions tailored to the evolving needs of pension schemes," Jethwa continued.

"This fund represents a significant milestone in our endgame strategy, providing schemes with access to high-quality, low-default-risk bonds in a simple and scalable format."

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