This is a list of institutional investors in the United Kingdom.
Institutional investors
An institutional investor is an entity which pools money to purchase securities, real property, and other investment assets or originate loans. Institutional investors include commercial banks, central banks, credit unions, government-linke ...
manage other people's money by buying
shares in
companies
A company, abbreviated as co., is a legal entity representing an association of people, whether natural, legal or a mixture of both, with a specific objective. Company members share a common purpose and unite to achieve specific, declared go ...
, corporate bonds,
gilts
Gilt-edged securities are bonds issued by the UK Government. The term is of British origin, and then referred to the debt securities issued by the Bank of England on behalf of His Majesty's Treasury, whose paper certificates had a gilt (or gilde ...
(i.e. government debt), commodities, foreign currencies, or combinations of each, or
derivative
In mathematics, the derivative of a function of a real variable measures the sensitivity to change of the function value (output value) with respect to a change in its argument (input value). Derivatives are a fundamental tool of calculus. ...
s of them (i.e. options to buy, or
futures
Futures may mean:
Finance
*Futures contract, a tradable financial derivatives contract
*Futures exchange, a financial market where futures contracts are traded
* ''Futures'' (magazine), an American finance magazine
Music
* ''Futures'' (album), a ...
). The main kinds of UK institutional investors are,
*
pension funds (where beneficiaries are saving for retirement)
*
insurance companies
Insurance is a means of protection from financial loss in which, in exchange for a fee, a party agrees to compensate another party in the event of a certain loss, damage, or injury. It is a form of risk management, primarily used to hedge ...
(where policyholders are insuring against risk, most importantly
life insurance: effectively also a pension)
*
mutual fund
A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. The term is typically used in the United States, Canada, and India, while similar structures across the globe include the SICAV ...
s (including investment companies, investment trusts, or unit trusts, where people are saving surplus wealth for any purpose)
*
sovereign wealth fund
A sovereign wealth fund (SWF), sovereign investment fund, or social wealth fund is a state-owned investment fund that invests in real and financial assets such as stocks, bonds, real estate, precious metals, or in alternative investments such as ...
s (government funds, often for saving wealth generated by natural resources)
Sovereign wealth funds are a recent addition, and grew following the
Asian financial crisis
The Asian financial crisis was a period of financial crisis that gripped much of East Asia and Southeast Asia beginning in July 1997 and raised fears of a worldwide economic meltdown due to financial contagion. However, the recovery in 1998– ...
from 1997, becoming important investors in the
London Stock Exchange
London Stock Exchange (LSE) is a stock exchange in the City of London, England, United Kingdom. , the total market value of all companies trading on LSE was £3.9 trillion. Its current premises are situated in Paternoster Square close to St P ...
.
Fund manager Fund may refer to:
* Funding is the act of providing resources, usually in form of money, or other values such as effort or time, for a project, a person, a business, or any other private or public institution
** The process of soliciting and gath ...
s (usually known as
investment adviser
A financial adviser or financial advisor is a professional who provides financial services to clients based on their financial situation. In many countries, financial advisors must complete specific training and be registered with a regulatory ...
s in the US), who typically belong to the same organisations as those running large mutual funds, play a critical role because normally the "primary" institutional investors delegate investment choices and
corporate governance
Corporate governance is defined, described or delineated in diverse ways, depending on the writer's purpose. Writers focused on a disciplinary interest or context (such as accounting, finance, law, or management) often adopt narrow definitions ...
decisions to the fund manager. UK
bank
A bank is a financial institution that accepts deposits from the public and creates a demand deposit while simultaneously making loans. Lending activities can be directly performed by the bank or indirectly through capital markets.
Because ...
s do not traditionally play an important role as institutional investors, as they do for instance in
Germany
Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated betwe ...
.
The
Institutional Investor Committee represents the interests of the NAPF, ABI, IMA, AITC and the
British Merchant Banking and Securities House Association
British may refer to:
Peoples, culture, and language
* British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies.
** Britishness, the British identity and common culture
* British English, ...
.
Mutual funds
Representing the mutual fund and fund management industry is primarily the
Investment Management Association
The Investment Management Association (IMA), now known as The Investment Association, is a trade association for the UK investment management industry.
History
In 2015, the trade body was renamed "The Investment Association", following the mer ...
(established in 2002, merging the Institutional Fund Managers Association and the Association of Unit Trusts and Investment Funds). The
Association of Investment Companies is also a representation body, with an overlapping membership, but includes only businesses dealing in
closed end investment companies.
These are the largest fund managers according to billions of pounds of assets under management.
Pension funds
The
Association of Member Nominated Trustees
The Association of Member Nominated Trustees is an organisation established in September 2010 composed of pension trustees selected by employees or members of private and public sector pension funds in the United Kingdom. It is a non-profit group ...
and the
National Association of Pension Funds
The Pensions and Lifetime Savings Association (formerly the National Association of Pension Funds) is a trade association for those involved in designing, operating, advising and investing in all aspects of workplace pensions.
The Pensions and ...
are the umbrella bodies representing the interests of pension funds collectively. The number of pension funds largely mirrors the number of companies, as pensions have often not merged on an industry-wide basis.
[See the 2010 list by the advisory fir]
Lucia
. Many pension funds for local councils fall within the umbrella group of the
Local Government Pension Scheme, but as yet there is no consolidated management.
Insurance companies
The
Association of British Insurers
The Association of British Insurers or ABI is a trade association made up of insurance companies in the United Kingdom.
History
The ABI began in 1985 after several specialised insurance industry trade associations joined to form one trade associa ...
is the umbrella body for UK insurance companies.
See also
*
UK labour law
United Kingdom labour law regulates the relations between workers, employers and trade unions. People at work in the UK can rely upon a minimum charter of employment rights, which are found in Acts of Parliament, Regulations, common law and equit ...
and
UK company law
The United Kingdom company law regulates corporations formed under the Companies Act 2006. Also governed by the Insolvency Act 1986, the UK Corporate Governance Code, European Union Directives and court cases, the company is the primary lega ...
*
List of unions
This is a list of trade unions and union federations by country.
International federations
Global
* Industrial Workers of the World
* International Trade Union Confederation
* International Workers Association
* World Federation of Trade Uni ...
, and in the
UK,
Germany
Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated betwe ...
and the
US
*
List of largest United Kingdom employers
*
FTSE 100
The Financial Times Stock Exchange 100 Index, also called the FTSE 100 Index, FTSE 100, FTSE, or, informally, the "Footsie" , is a share index of the 100 companies listed on the London Stock Exchange with (in principle) the highest market ...
and
FT 30
The FT 30 (''FT Ordinary Index'' or ''FTOI'', not "FTSE 30") is a now rarely used index that is similar to the Dow Jones Industrial Average. As an index of stocks to represent the real trends on the market, the FT 30 has been superseded by the FTS ...
,
S&P 100
The S&P 100 Index is a stock market index of United States stocks maintained by Standard & Poor's.
Index options on the S&P 100 are traded with the ticker symbol "OEX". Because of the popularity of these options, investors often refer to the ind ...
,
HDAX
The HDAX is a German stock market index calculated by Deutsche Börse. It consists of all member companies of the DAX, MDAX, and TecDAX, and is a successor to the DAX 100 index.
See also
* DAX
* MDAX
* SDAX
The SDAX (German abbreviation ...
and
DAX
*
List of hedge funds
Below is a list of notable hedge funds.
Largest hedge fund firms
Below are the 20 largest hedge funds in the world ranked by discretionary assets under management (AUM) as of mid-2022. Only assets in private funds following hedge fund strate ...
*
List of private equity firms
Below is a list of notable private-equity firms.
Largest private-equity firms by PE capital raised
Each year Private Equity International publishes the PEI 300, a ranking of the largest private-equity firms by how much capital they have raised for ...
Notes
{{reflist, 2
Institutional investors
Investment in the United Kingdom
Institutional investors
An institutional investor is an entity which pools money to purchase securities, real property, and other investment assets or originate loans. Institutional investors include commercial banks, central banks, credit unions, government-linke ...