UNITED TECHNOLOGIES CORPORATION (UK) PENSION SCHEME YEAR ENDED 31 DECEMBER 2024
STATEMENT REGARDING DC GOVERNANCE
Disclosure of net investment returns As per The Occupational Pension Schemes (Administration, Investment, Charges and Governance) (Amendment) Regulations 2021 that came into effect from 1 October 2021, the Trustee is required to report are invested alongside Scottish Widows AVCs, covering all lifestyle and self-select investment options available to members with TACC Benefits. The net investment return disclosures have been produced in line with the June 2021 statutory guidance entitled
The statutory guidance recommends trustees disclose net investment returns covering at least a five-year period (insofar as they are able). The Trustee reports on net investment returns of TACC benefits in the table below:
Age of Member in 2024 (years)
Annualised Returns 5 years (2020 to 2024)
Annualised Returns 1 year (2024)
25 45 55 65
Lifestyle Investment Option
5.91%
9.32%
2.15%
5.05%
Investment Fund
Annualised Returns 5 years (2020 to 2024)
Annualised Returns 3 years (2022 to 2024)
Annualised Returns 1 year (2024)
SW Mercer Diversified Growth CS1
4.03%
2.54%
8.64%
SW Aquila UK Equity Index CSW SW Aquila 50/50 Global Equity Index CS1 SW Aquila World ex UK Equity Index CS1 SW Aquila Over 15 Years UK Gilt Index CSW SW Threadneedle Pension Property CS1 SW BlackRock Sterling Liquidity CSW
3.70%
4.40%
8.11%
Self-Select Fund Range
6.53%
5.63%
9.54%
12.43%
8.74%
20.55%
10.57%
-18.65%
-10.79%
2.32%
-2.08%
4.82%
2.15%
3.54%
5.05%
Source: Scottish Widows
Value for Members
The Trustee is required to assess annually the extent to which the charges and transaction costs borne by members represent good value. Waddingham LLP, and the findings set out in a report dated 6 June 2025. The Trustee considered the report and confirmed its value for members assessment as contained therein. Recognising that low cost does not necessarily mean good value, the assessment considered whether the services for which members pay or share the costs are suitable for, relevant to and (likely to be) valued by members and whether performance of the services had been effective. Consideration was also made of the costs relative to other options available in the market. Various investment-related services for which members do not directly bear the costs are nevertheless inextricably linked to creating the environment under which investment returns are delivered, such as strategy, monitoring and investment governance structure, so these were also included in the assessment.
24
Made with FlippingBook Publishing Software