The Trustee also has an administration manual that sets out how long each piece of work will take and to which the administrator must work. The Trustee is not required to use the advisers listed above and can seek advice from others, if they so wish.
The Trustee also has an administration manual that sets out how long each piece of ... AST is now closed and is due to wind-up in early 2021.
transferred elsewhere in the current period ahead of its wind-up in early 2021. Until the end of April 2020, Steve Carrodus was the Trustee’s Chair. Steve has retired and having resigned his position I have been appointed in his place. For this reason, I am presenting the Chair’s report for the final set of
ASPIRE SAVINGS TRUST
Report and Financial Statements for the period ended 16 November 2020
Scheme Registration No: 00832025RT
ASPIRE SAVINGS TRUST
TABLE OF CONTENTS
Trustee and Advisers
2
Chair's Report
4
Trustee's Report for the period ended 16 November 2020
7
Investment Report
11
Statement of Trustee's Responsibilities
14
Independent Auditor's Report
15
Fund Account
188
Statement of Net Assets (Available for Benefits)
199
Notes to the Financial Statements
20
Independent Auditor's Statement about Contributions
30
Summary of Contributions paid in the period
31
Statement of Investment Principles
- In respect of Default Investment Arrangements
32
- In respect of Self-Select Investment Funds
56
- Additional Voluntary Contribution Funds
79
Appendix 1
Trustee Directors' Biographies
100
Page 1
ASPIRE SAVINGS TRUST
TRUSTEE AND ADVISERS Trustee: Directors of the Trustee ("Trustee Directors"):
Secretary to the Trustee:
Auditor:
Legal Advisers:
Bankers: Investment Managers: Until 2 November 2020
Punter Southall Aspire Pension Trust Company Ltd (PSAPTCL)
PTL Governance Limited - Represented by Steve Carrodus (Until 27 April 2020)
Steve Longworth (From 28 April 2020)
Independent Trustee Services Limited - Represented by Dianne Day
Angus Samuels
Ian Nash Punter Southall Aspire Pension Trust Company Limited 11 Strand London WC2N 5HR
BDO LLP 31 Chertsey Street Guildford Surrey GU1 4HD
Pinsent Masons 30 Crown Place Earl Street London EC2A 4ES
Barclays Bank plc 1 Churchill Place London E14 5HP
Mobius Life 7th Floor 20 Gresham Street London EC2V 7JE
Utmost Life and Pensions Walton Street Aylesbury Bucks HP21 7QW
Legal and General One Coleman Street London EC2R 5AA
(Until 2 November 2020) (Until 2 November 2020) (Until 2 November 2020)
Page 2
ASPIRE SAVINGS TRUST
TRUSTEE AND ADVISERS (continued)
Investment Managers (continued):
Investment Advisers: Administrators: Establishing Employer:
Scottish Widows (formerly Clerical Medical)
PO Box 2812
15 Dalkeith Road
Edinburgh EH16 9BU
(Until 2 November 2020)
ReAssure Limited Windsor House Telford Centre Telford Shropshire TF3 4NB
(From 7 September 2020) (Until 2 November 2020)
Punter Southall Defined Contribution Consulting Limited 11 Strand London WC2N 5HR
Punter Southall Defined Contribution Consulting Limited 11 Strand London WC2N 5HR
Punter Southall Defined Contribution Consulting Limited 11 Strand London WC2N 5HR
The Trustee has a written agreement in place with each adviser and supplier that sets out what everyone is required to do and when. The Trustee also has an administration manual that sets out how long each piece of work will take and to which the administrator must work.
The Trustee is not required to use the advisers listed above and can seek advice from others, if they so wish.
All the costs of the AST including for the independent trustees and the advisers are met by Punter Southall Defined Contribution Consulting Limited. In return, it receives the charges deducted from members' savings.
Participating Employers As at 16 November 2020, no employers were participating in the Aspire Savings Trust.
Page 3
ASPIRE SAVINGS TRUST
CHAIR'S REPORT Welcome to the final Trustee report and Accounts for the Aspire Savings Trust, which we will call the `AST' from now on. It has been prepared by the Trustee of the AST to confirm that all the assets in the AST have been transferred elsewhere in the current period ahead of its wind-up in early 2021. Until the end of April 2020, Steve Carrodus was the Trustee's Chair. Steve has retired and having resigned his position I have been appointed in his place. For this reason, I am presenting the Chair's report for the final set of accounts covering the period 1 April to 16 November 2020. This update is also a requirement under Regulation 23 of the Occupational Pension Schemes (Scheme Administration) Regulations 1996. What is the AST? The AST is a multi-employer, occupational pension scheme, which means that employers could use it to help their staff save for retirement and it was also possible to transfer in other pension savings that members may have. The AST is now closed and is due to wind-up in early 2021. Who set it up? The AST was set up by Punter Southall Aspire Limited, a member of the Punter Southall Group, which is an independent and largely employee-owned workplace pension and savings business. It brought together governance, investment, administration and communication expertise within a technology-led solution and it is this that the Trustee keeps an eye on. Punter Southall Defined Contribution Consulting (PSDCC) is the AST's Establishing Employer as well as its financial backer or "Funder". The AST's future In the last Chair's Report, it was confirmed that a decision to close the AST had been taken. Members' savings have now either moved to the replacement scheme chosen by the Trustee or to another pension scheme or policy chosen by members themselves. This came about because PSDCC carried out a strategic review into the future of the AST and concluded that in a changing pensions landscape there would not be enough demand. The AST is an authorised master trust and so we have been working with the Pensions Regulator (TPR) to follow a prescribed statutory process to ensure members' savings are looked after right up until the AST is wound up. The AST's assets transferred to the Crystal Trust on 2 November 2020. Now that the assets have been transferred, the AST is to be wound-up following the approval of this report. The Establishing employer, Punter Southall Defined Contribution Consulting Limited, will meet the costs of winding up. COVID-19 The COVID-19 virus outbreak has had a significant impact on people and business in the UK as well as abroad. There is the prospect of a direct impact on members through illness or loss of their jobs as well as on the ability of the ASTs suppliers to discharge their duties effectively. I am able to report that the Trustee has worked with its suppliers to ensure that normal service has been maintained during 2020.
Page 4
ASPIRE SAVINGS TRUST
CHAIR'S REPORT (continued)
The global population continues to grapple with the COVID-19 Pandemic, as infection rates are on the rise. The rise in infections across continental Europe and the UK appeared to be getting out of control in October (although testing increased) and led governments across Europe to impose new national lockdowns. However, Fiscal support remains relatively strong to try and help businesses through these difficult times. The United States had also been seeing a climb in infections.
In terms of risk asset performance, global developed markets were down across the board and European equities were hit particularly hard. UK equities were also poor and remain a material laggard through 2020. Pound Sterling was slightly stronger vs the US Dollar over the period, which negatively impacts the return to investors overseas investments. US equities were also weak, but Japanese markets were a bit more robust and were a relative outperformer on the downside.
In contrast to the developed world, the emerging market benchmark posted a positive gain over the period. However, this was solely due to the outperformance of the Asian region. North Asian countries appear to have handled the COVID-19 pandemic better and were further boosted as Chinese economic data pointed to a continued economic recovery. This is vital due to China's importance to the region.
Elsewhere in emerging markets, Latin American and EMEA (Europe, Middle East & Africa) struggled, as like areas of the developed world, these regions are contending with an increase in COVID-19 infection rates. Looking at the MSCI All Country World Index, the energy and healthcare sectors led the market lower. The sectors that were more robust were telecoms and utilities, as these more defensive areas of the market ended in positive territory.
Government bonds in the UK and US were weaker over the period but have both still performed very well over 2020. In the corporate space, UK investment grade was marginally higher with the opposite true of US assets, which were slightly weaker. High Yield assets held up well and eked out a small positive gain over the period. Hard and Local currency emerging market debt assets were also slightly weaker. In the commodities space, Oil prices were materially weaker due to renewed demand concerns over COVID-19 related lockdowns.
There were no assets held in the Aspire Savings Trust as at 16 November 2020.
Who looks after the AST and its members?
The Trustee of the AST, which is Punter Southall Aspire Pension Trust Company Limited (PSAPTCL) is there to make sure that members' savings are safe. To be able to wind up the AST, the Trustee carried out appropriate due diligence to select a replacement scheme (the Crystal Trust was chosen) while ensuring that members were not disadvantaged by the process.
Independence
The Trustee is independent and this ensures that decisions are being made for the right reasons. Although the AST was set up by a Punter Southall company, and it has a Trustee with a similar name, the majority of the Trustee Directors who are making the decisions must be non-affiliated (which we explain below).
The people who made the decisions in the period 1 April to 16 November 2020 are the Trustee Directors and they are:
·
Independent Trustee Services Limited represented by me, Dianne Day
·
PTL Governance Limited represented by Steve Carrodus (until 27 April) and Steve Longworth
·
Angus Samuels
Regulation requires that a majority of the directors of PSAPTCL must be `non-affiliated'. Non-affiliated means that a Director of PSAPTCL has not been a Director, manager, partner or employee of an undertaking which provides advisory, administration, investment or other services or a "connected undertaking", including being independent of PSDCC and all other companies within the wider Punter Southall Group, during the period of five years ending with the date of the person's appointment as a Trustee.
Page 5
ASPIRE SAVINGS TRUST
CHAIR'S REPORT (continued)
Independent Trustee Services and PTL Governance (and their respective representatives) are non-affiliated. Angus Samuels is the Chairman of the Punter Southall Group, which owns PSDCC.
Why were PTL Governance, Independent Trustee Services and Angus Samuels chosen?
As non-affiliated Trustee Directors, Steve Carrodus, Steve Longworth and I have:
·
Experience of acting as a trustee of one or more pension schemes, as well as master trusts
·
Strong technical knowledge of UK pension law, regulations and investment matters and
·
Knowledge of the pensions market in the UK
You will see our biographies on pages 100 to 101.
You will also find the biography for our third Trustee Director, Angus Samuels. Angus has over 30 years' experience in the savings industry and has been Chair of the Punter Southall Group since 2003. He has previously held a number of senior positions in well-known companies such as Credit Suisse and brings a wealth of valuable governance and investment expertise to the AST.
How often did we meet?
We met a number of times during the period to discuss and plan the AST's progress towards a safe and secure wind up in line with regulations:
·
27 April 2020
·
4 June 2020
·
11 June 2020
·
14 July 2020
·
21 October 2020
There were other discussions and telephone calls in between, so everyone was aware of what was going on.
Who were enrolled in the AST?
Some members joined because their employer enrolled them into the AST or because they transferred in other existing pension savings that had been built up elsewhere. Others were joined because they had some AVCs that were transferred to the AST for the Trustee to look after.
The Trustee had the same responsibility towards members' savings and I and my Trustee Director colleagues have continued to work hard to protect them until they were transferred out ahead of the AST closing and being wound up.
Approved and signed by the Chair of the Trustee
Dianne Day For and on behalf of Independent Trustee Services Limited Chair, Aspire Savings Trust
Page 6
ASPIRE SAVINGS TRUST
TRUSTEE'S REPORT FOR THE PERIOD ENDED 16 NOVEMBER 2020 The Trustee presents its report and financial statements for the period 1 April 2020 to 16 November 2020. Scheme Information The AST is a Registered Pension Scheme under the Finance Act 2004 (Registered Pension Scheme number 00832025RT) and is authorised by The Pensions Regulator under the Pensions Act 2017. It is governed by a Trust Deed and Rules dated 14 March 2016, by the Deeds of Participation of each Participating Employer and by any amending deeds The AST offered defined contribution benefits to members who: were enrolled in the AST by Employers that participate in the AST; had been transferred into the AST by the trustees of another pension scheme, or; had transferred-in directly from another scheme. Membership criteria, such as eligibility conditions and contribution rates, were generally determined by each participating employer. Each member's savings in the AST were kept separate from every other member. Likewise, each participating employer's staff were kept separate from that of every other Participating Employer. In addition to the information contained in this report, any members of the AST would be entitled to see, or to obtain copies of, certain AST related documents. "Members" refers to all existing and prospective members with a right to future benefits from the AST and their spouses and beneficiaries. However, all members have transferred out of the AST with the last members transferring to the Crystal Trust on 2 November 2020. The documents concerned are: the Trust Deed and Rules amendments or updates to the Trust Deed and Rules the Deed of Participation together with any amendments or updates and the Statements of Investment Principles (SIP). Copies of these documents are available to members on a public website at: www.PSAspire.com/AspireSavingsTrust or on request to the Administrator at `Mastertrust@PSAspire.com'. Recognised trade unions are also entitled to see, or request copies of, the same documents. The Trustee is appointed and removed from office by the Establishing Employer in accordance with the Trust Deed. It has the responsibility for ensuring that the AST is properly run in accordance with its governing documents, and in the best interests of the members. The rules also include a provision that the number of Trustee Directors of the Trustee shall not be less than three and there shall always be a majority of directors who are non-affiliated. The structure of the Trustee is such that the balance of powers always lies with the non-affiliated Trustee Directors. No provision has been made to appoint Member Nominated Trustees or Member Nominated Directors, recognising that issues of confidentiality or commercial sensitivity involving Participating Employers may arise from time to time. The Trustee met formally throughout the period to manage the closure of the AST, review its ongoing management and to monitor the performance of the investment managers, administrators and advisers.
Page 7
ASPIRE SAVINGS TRUST
TRUSTEE'S REPORT FOR THE PERIOD ENDED 16 NOVEMBER 2020 (continued)
Risk Management
The Trustee has overall responsibility for internal controls and risk management. It is committed to identifying, evaluating and managing risk and to implementing and maintaining control procedures to reduce significant risks to an acceptable level. In order to meet this responsibility, the Trustee has adopted a risk policy. The objective of this policy is to limit the exposure of the Trustee, and the savings that they are responsible for safeguarding, to business, financial, operational, compliance and other risks where possible.
The Trustee has established a risk register for this purpose, which is a standing agenda item at each Trustee's meeting.
The purpose of the risk register is:
to highlight the scope of risk to which the AST is exposed from the Trustee's perspective to highlight the scope of risk to which the Administrator is exposed to rank those risks in terms of likelihood and impact, and to identify management actions that are either currently being taken, or that are believed should be taken, in
order to mitigate the identified risks.
Additionally, the Trustee requires PSDCC, the AST's Administrator "Scheme Funder" to maintain a separate risk register which covers additional items specific to its role and duties.
Financial Development of the AST
The financial statements on pages 18 to 29 have been prepared and audited in accordance with the regulations made under Sections 41(1) and (6) of the Pensions Act 1995.
Monitoring Contributions
Each Participating Employer paid contributions to the AST in accordance with the data collection form that is submitted. This described the earnings components on which contributions are based; the different contribution rates payable both by the members and by their Employer (where applicable) and any salary sacrifice arrangements that may apply.
This information was then input into AspireConnect, which monitored the contributions that the employer was paying. Reports were then provided to the Trustee at its meetings.
The Trustee's role is to monitor that the contributions were paid in accordance with the Participating Employers' contribution schedule and had established a risk-based process in order to do this. The Trustee was also required to investigate late payments and has an obligation to whistle blow to the Pensions Regulator if it believes a Participating Employer persistently makes late, inaccurate, or insufficient payments.
Contributions to the AST from all participating employers and members ceased in August 2020.
Membership
The number of members as at the period-end was:
16 November 2020
1 April 2020
Membership as at 31 March 2020 New contributing joiners Transfer in of non-contributing members Individual Transfer Out Group Transfer Out Death
66
67
-
-
-
2
(6)
(2)
(60)
-
-
(1)
Membership as at 16 November 2020
0
66
Page 8
ASPIRE SAVINGS TRUST
TRUSTEE'S REPORT FOR THE PERIOD ENDED 16 NOVEMBER 2020 (continued)
Financial Development of the AST
Changes in the AST's net assets during the period were as follows:
£.
Net assets at 1 April 2020 Net withdrawals from dealings with members Net returns on investments
1,135,778. (1,211,445)
75,667
Net assets at 16 November 2020
-.
The financial statements for the period have been prepared and audited in accordance with Sections 41(1) and (6)
of the Pensions Act 1995.
Enquiries
All enquiries about the AST and individual benefit entitlements should be addressed to:
Aspire Savings Trust Albion
Fishponds Road Wokingham
Berkshire RG41 2QE Website: www.psaspire.com/AspireSavingsTrust
E-mail: mastertrust@psaspire.com
Money and Pensions Service (MaPS)
The MaPS is a service that was established in 2019 to combine pension guidance, money guidance and debt advice These services were previously provided by three separate government entities; The Pensions Advisory Service (TPAS), Pension Wise and the Money Advice Service. The MaPS can be contacted at:
Money & Pensions Service Holborn Centre 120 Holborn
London EC1N 2TD
MaPS Tel: 0115 965 9570 Email: contact@maps.org.uk Website: www.moneyandpensionsservice.org.uk
Pensions Ombudsman
If a member has a complaint against the Scheme that has not been resolved to his or her satisfaction through the Scheme's Dispute Procedure, the government appointed Pensions Ombudsman can investigate complaints of injustice caused by bad administration, either by the Trustees or Scheme administrators, or disputes of fact or law. The Pensions Ombudsman can be contacted at:
10 South Colonnade Canary Wharf
London E14 4PU
Tel: 0800 917 4487 Email: enquiries@pensions-ombudsman.org.uk
Website: www.pensions-ombudsman.org.uk
Page 9
ASPIRE SAVINGS TRUST
TRUSTEE'S REPORT FOR THE PERIOD ENDED 16 NOVEMBER 2020 (continued) The Pensions Regulator (TPR) The Pensions Regulator can intervene if they consider that a scheme's trustees, advisers, or the employer are not carrying out their duties correctly. The address for the Pensions Regulator is:
Napier House Trafalgar Place Brighton BN1 4DW Tel: 0345 600 0707 Email: customersupport@tpr.gov.uk Website: www.thepensionsregulator.gov.uk The Pension Scheme Registry The Scheme is registered with the Pension Scheme Registry which is part of the Pensions Regulator's office. The registration number is 00832025RT. The data held by the Registry is used by the Pension Tracing Service to assist former members of schemes to trace their scheme benefits. The Pension Tracing Service can be contacted at: Pension Tracing Service The Pension Service 9 Mail Handling Site A Wolverhampton WV98 1LU Tel: 0800 731 0193 Website: www.gov.uk/find-lost-pension
Page 10
ASPIRE SAVINGS TRUST
INVESTMENT REPORT The Trustee is required by law to develop and to maintain a Statement of Investment Principles (SIP), which describes its investment philosophy. The Trustee uses this to develop its tactical and strategic investment objectives. Statement of Investment Principles The Trustee has maintained three SIPs: one for the default investment arrangement; one for the AST's investment options available on a self-select basis - from which members can make their investment choices; and the third for the investment funds where members have transferred in their AVC savings. A copy of each SIP is included in this report under pages 32 to 99. The AST offered its members an investment range that included a series of pathways, sometimes known as lifestyle strategies. Details of all the investment funds and pathways that were available can be obtained from the Administrator. Governance Arrangements Under advice from PSDCC, the Trustee's investment adviser, the Trustee selected a range of suitable investment funds and pathways into which members may then invest their savings. The funds the Trustee chose were selected in accordance with its SIPs. A `default investment' arrangement was selected for members who were auto-enrolled into the AST or who did not wish to make an active investment choice. The investment fund range, and the default investment arrangement in particular, were reviewed regularly by the Trustee. The Trustee also commissioned additional advice from its investment adviser about the range of investment funds. Scheme Investments All the contributions into the AST were invested in insured pension and life assurance funds. The underlying assets of the funds were the responsibility of the investment managers who appointed custodians of the assets underlying the pooled funds managed by them. Investment funds from Mobius Life, Scottish Widows (formerly Clerical Medical), Utmost Life and Pensions (formerly Equitable Life), Legal & General and ReAssure Limited (to whom Legal and General transferred one AVC policy) were included in the AST. The investment funds in which members' pension pots were invested, their returns and benchmarks, are listed on page 13. All members' investment returns varied depending on the specific investment funds they were invested in and the timing of their contributions. The investment returns (net of fees) of each category of investment funds to 30 September 2020 are set out in the respective tables on page 13. The returns applicable to individual members are shown on their annual statements along with the returns of their specific investment funds. The Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013 require the Trustee to provide an overall investment return for the AST for the period of these accounts. The investment fund returns have been provided by the Trustee's investment adviser, PSDCC. The AST offers defined contribution benefits and is designed for members to select their choice of funds. Consequently, the Trustee considers it is the individual fund investment returns shown within this report that are relevant to the readers of this annual report. Environmental, Social and Governance (ESG) and Ethical issues The Trustee's policy regarding ESG and ethical considerations were taken into account as part of the day-to-day investment decisions delegated to the respective managers of the funds. The respective managers of the funds understood that the Trustee's primary responsibility was to act in the best financial interests of the members while maintaining robust ESG policies which were well integrated in their investment processes.
Page 11
ASPIRE SAVINGS TRUST
INVESTMENT REPORT (continued) Stewardship In relation to the exercise of the rights (including voting rights) attaching to the investments, and in undertaking engagement activities in respect of the investments, the Trustee delegated the day-to-day management of the assets to investment managers (under the terms of agreements with managers and/or insurers). The Investment Managers were expected and encouraged to evaluate ESG factors including climate change considerations. The Trustee's views on ESG and Stewardship are set out in the Trustee's Responsible Investment Policy and in the Statements of Investment Principles attaching to these Accounts. Investment Strategy The Trustee determined its investment strategy after taking advice from its investment advisers. It delegated the management of the investments to the investment managers listed on pages 2 and 3. The Trustee received advice on and agreed its investment objectives and the supporting strategy. Many members of the AST were enrolled into its default arrangement. The investment strategy took account of the likely characteristics and needs of those members, maintaining an appropriate balance between risk and return through the diversified allocation of assets. In doing so the Trustee aimed to deliver a real return on their investments but with volatility smoothed. As well as the default arrangement, a range of other options were made available. As all the investment funds were the responsibility of the Trustee, it chose to add, remove or change the investment funds on offer from time to time based on advice provided by the Investment Advisers. The AST's assets were invested through unit-linked insurance policies because they could provide access to a wide range of investment funds through several different investment managers. Members' savings were invested in a wide range of different asset classes, including stocks and shares (equities), bonds, cash and other types of investment. Unit-linked funds The value of each member's savings was worked out daily and could rise or fall as they were directly linked to the performance (after any applicable fees or charges) of the funds in which they were invested. The value was also worked out each day, based on the total number of units held by each member. As the value of members' savings rose or fell, members could realise the value of their savings in a fund on any working day. The funds, which included a Unitised With-profits fund, are managed by professional investment managers, namely Mobius Life, Scottish Widows, Utmost Life and Pensions and Legal & General. The portfolios of underlying investments are held by independent corporate custodians. With-profits funds Two members were invested in Legal & General's unit-linked With-profits fund as at 31 March 2020 but both subsequently moved out of this fund in July 2020.
Page 12
ASPIRE SAVINGS TRUST
INVESTMENT REPORT (continued)
Pooled Investment Vehicles
All assets that were held by the AST were held through Pooled Investment Vehicles ("PIVs"). The remaining members of the AST had their savings assigned to the Crystal Trust on 2 November 2020, which means the AST did not hold any members' savings from this date.
Members' funds are PIVs whilst the underlying funds consist of PIVs and segregated accounts which are a combination of PIVs and directly held financial instruments.
Investment Performance
The manager and total AST performance to 30 September 2020 for members' savings that were still invested in the AST as at 2 November 2020 was as follows:
1 year
2 years
Fund Benchmark
Fund Benchmark
Mobius Life
%
%
%
%
Aspire Three
0.7
4.5
2.3
5.1
Scottish Widows
1 year
3 years
Clerical Medical Balanced Pension
-10.4
-1.1
-1.0
3.0
Clerical Medical Cautious
-8.1
-2.5
-0.7
1.3
Clerical Medical Retirement Protection
5.5
5.3
9.1
8.1
Clerical Medical UK Growth
-18.6
-14.5
-4.8
-3.7
Clerical Medical UK Property
-3.5
-5.9
1.9
0.6
Legal and General
Legal & General Cash Legal & General Consensus Index Legal & General Fixed Interest Legal & General Global Equity 70:30 Index Legal & General Over 15-year Gilts Index
1 year
1 year
Fund Benchmark
%
%
0.5
-0.1
-1.1
0.3
4.5
3.2
-9.3
-10.0
6.4
5.2
The AST was established in March 2016. The Aspire Three fund was established in September 2017 and as a result, investment fund performance data over one and two years to 30 September 2020 is provided.
The Scottish Widows' funds have been assets of the AST since the beginning of April 2017 so one and three-year performance are shown.
The funds with Legal & General have been assets of the AST since February 2019, so one-year performance has been shown.
The investment funds with Utmost Life and Pensions and ReAssure have been assets of the AST since January 2020 and September 2020 respectively, so performance figures have not been included.
Employer Related Investments
There were no employer related investments during the period.
Page 13
ASPIRE SAVINGS TRUST
Statement of Trustee's Responsibilities The financial statements, which are prepared in accordance with UK Generally Accepted Accounting Practice, including the Financial Reporting Standard applicable in the UK (FRS 102) are the responsibility of the Trustee. Pension scheme regulations require the Trustee to make available to AST members, beneficiaries and certain other parties, audited financial statements for each AST year which: show a true and fair view of the financial transactions of the AST during the period and of the amount and
disposition at the end of the period of its assets and liabilities, other than the liabilities to pay pensions and benefits after the end of the period; and contain the information specified in Regulation 3A of the Occupational Pension Schemes (Requirement to obtain Audited Accounts and a Statement from the Auditor) Regulations 1996, including a statement whether the financial statements have been prepared in accordance with the Statement of Recommended Practice ``Financial Reports of Pension Schemes''. In discharging these responsibilities, the Trustee is responsible for selecting suitable accounting policies, to be applied consistently, making any estimates and judgements on a prudent and reasonable basis, and for the preparation of the financial statements on a going concern basis unless it is inappropriate to presume that the AST will continue as a going concern. The Trustee is also responsible for making available certain other information about the AST in the form of an Annual Report. The Trustee is responsible under pensions legislation for ensuring that there is prepared, maintained and from time to time revised a payment schedule showing the rates of contributions payable towards the AST by or on behalf of the employer and the active members of the AST and the dates on or before which such contributions are to be paid. The Trustee is also responsible for keeping records in respect of contributions received in respect of any active member of the AST and for monitoring whether contributions are made to the AST by the employer in accordance with the payment schedule. Where breaches of the Schedule occur, the Trustee is required by the Pensions Acts 1995 and 2004 to consider making reports to The Pensions Regulator and the members. The Trustee also has a general responsibility for ensuring that adequate accounting records are kept and for taking such steps as are reasonably open to it to safeguard the assets of the AST and to prevent and detect fraud and other irregularities, including the maintenance of an appropriate system of internal control. Approval The Trustee's Report, which includes the Chair's Statement, Investment Report, and the Statement of Trustee's Responsibilities, was approved and signed by the Chair of the Trustee on 25/01/2021.
Approved and signed by the Chair of the Trustee
Dianne Day For and on behalf of Independent Trustee Services Limited Chair, Aspire Savings Trust
Page 14
ASPIRE SAVINGS TRUST
INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE ASPIRE SAVINGS TRUST Opinion on the financial statements In our opinion the financial statements: show a true and fair view of the financial transactions of AST during the period ended 16 November 2020 and
of the amount and disposition at that date of its assets and liabilities, other than liabilities to pay pensions and benefits after the end of the period; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and contain the information specified in Regulation 3A of the Occupational Pension Schemes (Requirement to obtain Audited Accounts and a Statement from the Auditor) Regulations 1996, made under the Pensions Act 1995.
We have audited the financial statements of Aspire Savings Trust (`AST') for the period ended 16 November 2020 which comprise the Fund Account, Statement of Net Assets (available for benefits) and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Statement of Recommended Practice Financial Reports of Pension Schemes (revised 2018) (United Kingdom Generally Accepted Accounting Practice).
Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the AST in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Emphasis of matter - basis of preparation other than that of going concern We draw attention to Note 1 to the financial statements which explains the Trustee's decision to close the AST and transfers members' savings to a replacement scheme after which the AST will be wound-up. The AST is therefore no longer considered to be a going concern. Accordingly, the financial statements have been prepared on a basis other than that of going concern as described in Note 1. Our opinion is not modified in this respect of this matter.
Other information The Trustee is responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Page 15
ASPIRE SAVINGS TRUST
INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE ASPIRE SAVINGS TRUST (continued)
Responsibilities of the Trustee As explained more fully in the Statement of Trustee's Responsibilities set out on page 14, the Trustee's is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustee determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustee is responsible for assessing AST's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees intend to wind up the Scheme or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Extent to which the audit was capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
we enquired of the trustees and the administrators as to whether: the Scheme is in compliance with laws and regulations that have a material effect on the financial statements; they have knowledge of any actual, suspected or alleged fraud; any reports have been made to the Pensions Regulator.
We addressed the risk of fraud through management override of controls, by testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it
A further description of our responsibilities is available on the Financial Reporting Council's website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Page 16
ASPIRE SAVINGS TRUST
INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE ASPIRE SAVINGS TRUST (continued) Use of our report This report is made solely to AST's Trustee in accordance with Regulation 3 of the Occupational Pension Schemes (Requirement to obtain Audited Accounts and a Statement from the Auditor) Regulations 1996, made under the Pensions Act 1995. Our audit work has been undertaken so that we might state to the AST's Trustee those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than AST's Trustee for our audit work, for this report, or for the opinions we have formed. Signed by BDO LLP BDO LLP Statutory Auditor Guildford United Kingdom Date 08/02/2021 BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127)
Page 17
ASPIRE SAVINGS TRUST
FUND ACCOUNT For the period ended 16 November 2020
CONTRIBUTIONS AND BENEFITS Employer contributions Employee contributions TOTAL CONTRIBUTIONS Transfers in
Benefits Paid or Payable Payments to and on account of leavers Administrative expenses
NET (WITHDRAWALS) /ADDITIONS FROM DEALINGS WITH MEMBERS Returns on Investments Change in market value of investments NET RETURNS ON INVESTMENTS
NET DECREASE IN THE FUND FOR THE PERIOD
Note
Period Ended 16 November
2020 £
15,145 976
4
16,121
5
-
16,121
6
34
7
1,226,325
8
1,207
1,227,566
(1,211,445)
9
75,667
75,667
(1,135,778)
NET ASSETS AT 1 APRIL 2020 NET ASSETS AT 16 NOVEMBER 2020
1,135,778 -
The notes on pages 20 to 29 form an integral part of these financial statements.
Year Ended 31 March 2020 £
86,664 11,733 98,397 123,692 222,089
9,929 199,497
1,928 211,354
10,735
(49,509) (49,509)
(38,774)
1,174,552 1,135,778
Page 18
ASPIRE SAVINGS TRUST
STATEMENT OF NET ASSETS (AVAILABLE FOR BENEFITS) At 16 November 2020
Note
INVESTMENT ASSETS
9
Pooled investment vehicles
10
TOTAL NET INVESTMENTS
CURRENT ASSETS
14
CURRENT LIABILITIES
15
NET ASSETS AT 16 NOVEMBER 2020
16 November 2020 £
-
31 March 2020 £
1,135,208 1,135,208
12,454 (11,884) 1,135,778
The financial statements summarise the transactions of the AST and deal with the net assets at the disposal of the Trustee. They do not take account of obligations to pay pensions and benefits which fall due after the end of the period.
The notes on pages 20 to 29 form an integral part of these financial statements.
These financial statements were approved and by the Chair of Trustee On 25/01/2021
Signed on behalf of the Trustee
Approved and signed by the Chair of the Trustee
Dianne Day For and on behalf of Independent Trustee Services Limited Chair, Aspire Savings Trust
Page 19
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS For the period ended 16 November 2020
1. BASIS OF PREPARATION
The financial statements have been prepared in accordance with the Occupational Pensions Schemes (Requirement to obtain Audited Accounts and a Statement from the Auditor) Regulations 1996, Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland issued by the Financial Reporting Council and the guidance set out in the Statement of Recommended Practice (Revised 2018). As explained in the Chair's report, the Trustee made the decision to close the AST and transfer members' savings to a replacement scheme after which the AST will be wound-up following approval of these financial statements. The AST is therefore no longer a going concern and the financial statements have consequently been prepared on a basis other than that of going concern. 2. IDENTIFICATION OF THE FINANCIAL STATEMENTS
The AST is established as a trust under English law. All enquiries about the AST should be addressed to the AST's Trustee: C/o XPS Administration Limited, Albion, Fishponds Road, Wokingham, Berkshire RG41 2QE, England. 3. ACCOUNTING POLICIES a) Accounting Convention The financial statements are prepared on a Scheme cessation basis. b) Contributions Employee contributions, including AVCs, are accounted for when they are deducted from pay by the employer. Employer normal contributions that are expressed as a rate of salary are accounted for on the same basis as the employees' contributions. c) Payments to Members Benefits are accounted for in the period in which the member notifies the Trustee of his decision on the type or amount of benefit to be taken or, if there is no member choice, on the date of retirement or leaving. Individual transfers in or out are accounted for when the member liability is accepted or discharged which is normally when the transfer is paid or received. Group transfers are accounted for in accordance with the terms of the transfer agreement. Opt-outs are accounted for when the AST is notified of the opt-out. d) Expenses Expenses are accounted for on an accrual's basis. e) Investment and other Income Income from pooled investment vehicles is accounted for when declared by the fund manager. Income arising on the underlying investments of accumulation funds is reflected within the change in market value. All other income is accounted for on accruals basis. f) Investments Investments are included at fair value as follows: Unitised pooled investment vehicles have been valued at the latest available bid price or single price provided by the pooled investment manager. Shares in other pooled arrangements have been valued at the latest available net asset value (NAV), determined in accordance with fair value principles, provided by the pooled investment manager. g) Currency The AST's functional and presentation currency is pounds sterling (GBP).
Page 20
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020
4. CONTRIBUTIONS
Employer contributions Normal Employee contributions Additional voluntary Total
Period ended 16 November 2020
£
15,145
976 16,121
Year ended 31 March 2020
£
86,664
11,733 98,397
Included within Employer contributions above are member contributions paid by the Employer under the salary sacrifice arrangement.
5. TRANSFER IN
Individual transfers in from other schemes 6. BENEFITS PAID OR PAYABLE
Refund of contributions on death
Period ended 16 November 2020
£
-
Year ended 31 March 2020
£
123,692
Period ended 16 November 2020
£
34
Year ended 31 March 2020
£
9,929
7. PAYMENTS TO AND ON ACCOUNT OF LEAVERS
Individual transfers out to other schemes Group transfer out to the Crystal Trust
Period ended 16 November 2020
£ 515,440
710,885
1,226,325
Year ended 31 March 2020 £ 199,497
-
199,497
Page 21
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020 8. ADMINISTRATION EXPENSES
Bank and Member Charges
Period ended 16 November 2020
£
1,207
Year ended 31 March 2020
£
1,928
Administrative expenses are met by the employer with the exception of the above.
9.
RECONCILIATION OF INVESTMENTS
Defined Contributions Pooled investment vehicles
Value at 31.03.2020
Purchases at cost
£ 1,135,208
£ 38,342
Sales proceeds
£ (1,249,217)
Change in market value £
75,667
Value at 16.11.2020
£ -
Transaction costs are included in the cost of purchases and deducted from sale proceeds. Direct transaction costs include costs charged to the AST such as fees, commissions and stamp duty.
Indirect costs are incurred through the bid-offer spread on investments within pooled investment vehicles and charges made within those vehicles. The amount of indirect transaction costs is not separately provided to the AST.
Investments that were purchased by the AST were allocated to provide benefits to the individuals on whose behalf corresponding contributions are paid. For members who invested in the AST, the investment manager holds the investment units on a pooled basis for the Trustee. The AST's administrator allocated investment units to members.
Defined Contribution assets are allocated to members and the Trustee as follows:
16 November 2020
31 March 2020
£
£
Members
-
1,135,208
Page 22
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020 10. POOLED INVESTMENT VEHICLES
The AST's investments in pooled investment vehicles as at 16 November 2020 comprised:
Diversified Fund
16 November 2020 £ -
Equity
-
Cash
-
Bonds
-
Property Fund
-
-
31 March 2020 £
823,276
104,264
168,870
36,137
2,661
1,135,208
11. FAIR VALUE DETERMINATION
The fair value of financial instruments has been estimated using the following fair value hierarchy: Level 1: The unadjusted quoted price in an active market for identical assets or liabilities that the entity can
access at the measurement date. Level 2: Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using
market data) for the asset or liability, either directly or indirectly. Level 3: Inputs are unobservable (i.e. for which market data is unavailable) for the asset or liability. The AST's investment assets and liabilities have been fair valued using the above hierarchy categories as follows:
Defined Contributions Pooled investment vehicles
Level 1 £ -
At 16 November 2020
Level 2
Level 3
£
£
-
-
Total £ -
Defined Contributions Pooled investment vehicles
Level 1 £ -
At 31 March 2020
Level 2
Level 3
£
£
942,907
192,301
Total £
1,135,208
Page 23
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020 12. INVESTMENT RISK DISCLOSURES Investment risks FRS 102 requires the disclosure of information in relation to certain investment risks. These risks are set out by FRS 102 as follows: Credit risk: this is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. Market risk: this comprises currency risk, interest rate risk and other price risk. Currency risk: this is the risk that the fair value or future cash flows of a financial asset will fluctuate because
of changes in foreign exchange rates. Interest rate risk: this is the risk that the fair value or future cash flows of a financial asset will fluctuate because
of changes in market interest rates. Other price risk: this is the risk that the fair value or future cash flows of a financial asset will fluctuate because
of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting all similar financial instruments traded in the market. The Trustee determined its investment strategy after taking advice from a professional investment adviser. The AST had exposure to these risks because of the investments it makes in following the investment strategy set out below. The Trustee managed investment risks, including credit risk and market risk, within agreed risk limits which were set taking into account the AST's strategic investment objectives. These investment objectives and risk limits were implemented through the investment management agreements in place with the AST's investment managers and were monitored by the Trustee through regular reviews of the investment portfolio. Further information on the Trustee's approach to risk management, credit and market risk is set out below. (i) Investment strategy The Trustee's objective was to make available to members of the AST an appropriate range of investment options. The aim was that with new contributions from members and their employers, members will build up sufficient savings to ensure they could retire on a reasonable level of benefits. A series of `pathways' within the AST provided members with the option to align their savings with how they intended to take them at their selected retirement age. The SIPs provide more detail about the investment objectives and strategy for the AST. A series of investment funds were included in the AST through five insurance companies Mobius, Scottish Widows (formerly Clerical Medical), Utmost Life and Pensions (formerly Equitable Life), Legal and General and ReAssure Limited.
Page 24
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020 12. INVESTMENT RISK DISCLOSURES (continued)
The investment funds used during the period were as follows:
Aspire One
Utmost Life and Pensions UK All Share Tracker
Aspire Two
Utmost Life and Pensions UK Equity
Aspire Three
Legal & General Cash
Aspire Annuity Focus
Legal & General Consensus Index
Sterling Liquidity
Legal & General Fixed Interest
Clerical Medical Balanced
Legal & General Global Equity 70:30 Index
Clerical Medical Cash
Legal & General Managed
Clerical Medical Cautious
Legal & General North American
Clerical Medical Retirement Protection
Legal & General Over 15-year Gilts index
Clerical Medical UK Growth
Legal & General Property
Clerical Medical UK Property
Legal & General UK Equity
Utmost Life and Pensions Global Equity
Legal & General UK Recovery
Utmost Life and Pensions Money Market
Legal & General UK Smaller Companies
Utmost Life and Pensions Multi Asset Growth
Legal & General Unit-linked With-profits
Utmost Life and Pensions Secure Cash
The day to day management of the underlying investments of the funds is the responsibility of Mobius Life, Scottish Widows, Utmost Life and Pensions, Legal & General and ReAssure Limited including the direct management of credit and market risks
The Trustee monitored the underlying risks by quarterly investment reviews it receives from its advisers.
(ii) Credit risk
The AST was subject to direct credit risk in relation to Mobius Life, Scottish Widows, Utmost Life and Pensions, Legal and General and ReAssure Limited through its holding in their unit linked insurance funds.
Mobius Life, Scottish Widows, Utmost Life and Pensions, Legal and General and ReAssure Limited are regulated by the Financial Conduct Authority and maintain separate funds for their policy holders. The Trustee monitored the creditworthiness of Mobius Life, Scottish Widows, Utmost Life and Pensions, Legal and General and ReAssure Limited by reviewing reports that it received from the credit ratings agency, AKG, and/or published credit ratings. All the insurance companies invested all the AST's funds in their own investment unit linked funds or With-profits funds, with Mobius Life using other investment managers' funds through reinsurance arrangements. In the event of default by insurance companies the AST was protected by the Financial Services Compensation Scheme (FSCS).
Member level risk exposures were dependent on the funds invested in by members.
Page 25
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) For the period ended 16 November 2020 12. INVESTMENT RISK DISCLOSURES (continued)
(iii) Currency risk
The AST was subject to currency risk because some of the AST's investments were held in overseas markets, via pooled investment vehicles. (iv) Interest rate risk
The AST was exposed to interest rate risk as some assets, that were held through pooled investment vehicles, were subject to interest rate risk and for the purposes of this report Index Linked Bonds have been included in this category.
(v) Other price risk
The AST was exposed to other price risk in relation to its holdings in assets, through pooled investment vehicles, typically including equities, private equity, hedge funds and property.
The indirect credit and market risks are summarised below:
Pension Funds Name
Aspire One Aspire Two Aspire Three Aspire Annuity Focus Sterling Liquidity Clerical Medical Balanced Clerical Medical Cash Clerical Medical Cautious Clerical Medical Retirement Protection Clerical Medical UK Growth Clerical Medical UK Property
Credit Risk
Yes Yes Yes Yes Yes
Currency Risk Yes Yes Yes Yes Yes
Interest Rate Risk Yes Yes Yes Yes Yes
Other Price Risk Yes Yes Yes Yes Yes
16.11.20 £ -
Yes
Yes
Yes
Yes
-
No
Yes
Yes
Yes
-
Yes
Yes
Yes
Yes
-
Yes
Yes
Yes
Yes
-
No
No
No
Yes
-
Yes
No
Yes
Yes
-
31.03.20 £
93,207 54,974 334,497 31,919 32,769
64,031 9,928
4,255
1,927
17.708
1,243
Page 26
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued)
For the period ended 16 November 2020
12. INVESTMENT RISK DISCLOSURES (continued)
(v) Other price risk (continued)
Pension Funds Name
Utmost Life and Pensions Global Equity Utmost Life and Pensions Money Market Utmost Life and Pensions Secure Cash Utmost Life and Pensions UK FTSE All Share Tracker Utmost Life and Pensions UK Equity Legal & General Cash Legal & General Consensus Index Legal & General Fixed Interest Legal & General Global Equity 70:30 Index
Credit Risk
Currency Interest Rate Other Price
Risk
Risk
Risk
No
Yes
No
Yes
No
Yes
No
Yes
Yes
Yes
Yes
Yes
No
No
No
Yes
No
No
No
Yes
Yes
Yes
Yes
No
Yes
Yes
Yes
Yes
Yes
No
Yes
No
No
Yes
No
Yes
16.11.20 £ -
31.03.20 £
1,354 1,371 155,308 6,870 1,655 126,172 28,458 29,577 34,261
Legal & General Over 15-
year Gilts index
Yes
No
Yes
No
Legal and General With
Profits
Yes
Yes
Yes
Yes
ReAssure (previously
Legal & General)
Managed 6
Yes
Yes
Yes
Yes
ReAssure North American
6
No
Yes
Yes
Yes
ReAssure Property 6
Yes
No
Yes
Yes
ReAssure UK Recovery 6
No
No
No
Yes
ReAssure UK Smaller
Companies 6
No
No
No
Yes
Total
-
6,560
-
36,991
-
6,332
-
2,634
-
1,418
-
10,070
-
18,435
-
1,135,208
Page 27
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) period ended 16 November 2020 13. CONCENTRATION OF INVESTMENTS
The following investments represented over 5% of the net assets of the AST:
16 November 2020
£
%
Mobius
Aspire One
-
-
Aspire Three
-
-
Scottish Widows (formerly Clerical medical)
Balanced
-
-
Utmost Life Secure cash
-
-
Legal & General
Cash Fund
-
-
31 March 2020
£
%
93,207
8.2
334,497
29.5
64,031
5.6
155,308
13.7
126,172
11.1
14. CURRENT ASSETS
16 November 2020
31 March 2020
£
£
Contributions receivable - employer normal
-
4,024
- employee AVC
-
6,260
Other debtor
-
-
Bank balance
-
2,170
-
12,454
All normal contributions were paid in full to the AST within the timescale required by the Payment Schedule.
15. CURRENT LIABILITIES
16 November 2020 £
30 March 2020 £
Unpaid benefits Accrued expenses Investment creditor Sundry creditors
-
9,929
-
757
-
833
-
365
-
11,884
Page 28
ASPIRE SAVINGS TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) period ended 16 November 2020 16. RELATED PARTIES Administration expenses are borne by the Establishing Employer other than those disclosed in note 8. During the period 1 April to 16 November 2020, the establishing employer paid fees of £40,814 (year to 31 March 2020: £76,034) to the Trustee Directors. 17. TAXATION STATUS The AST is a Registered Pension Scheme within the meaning of Section 153 of the Finance Act 2004 and is therefore exempt from income tax and capital gains tax.
Page 29
ASPIRE SAVINGS TRUST
INDEPENDENT AUDITOR'S STATEMENT ABOUT CONTRIBUTIONS TO THE TRUSTEE OF THE ASPIRE SAVINGS TRUST
Statement about contributions
We have examined the Summary of Contributions to the Aspire Savings Trust (`the AST') for the period 1 April 2020 to 16 November 2020 to which this report is attached.
In our opinion, contributions for the period ended 16 November 2020, as reported in the Summary of Contributions and payable under the Payment Schedule, have in all material respects been paid at least in accordance with the Payment Schedule dated 04 February 2020.
Scope of work on statement about contributions
Our examination involves obtaining evidence sufficient to give reasonable assurance that contributions reported in the Summary of Contributions have in all material respects been paid at least in accordance with the Payment Schedule. This includes an examination, on a test basis, of evidence relevant to the amounts of contributions payable to the AST and the timing of those payments under the Payment Schedule.
Responsibilities of Trustee
As explained more fully in the Statement of Trustee's Responsibilities set out on page 14, the AST's Trustee is responsible for ensuring that there is prepared, maintained and from time to time revised a payment schedule showing the rates and due dates of certain contributions payable towards the AST by or on behalf of the employer and the active members of the AST. The Trustee is also responsible for keeping records in respect of contributions received in respect of any active members of the AST and for monitoring whether contributions are made to the AST by the employer in accordance with the Payment Schedule.
Auditor's responsibilities for the preparation of a Statement about Contributions
It is our responsibility to provide a statement about contributions paid under the Payment Schedule and to report our opinion to you.
Use of our report
This statement is made solely to the AST's Trustee, in accordance with Regulation 4 of the Occupational Pension Schemes (Requirement to obtain Audited Accounts and a Statement from the Auditor) Regulations 1996, made under the Pensions Act 1995. Our audit work has been undertaken so that we might state to the AST's Trustee those matters we are required to state to them in an auditor's statement and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the AST's Trustee, for our audit work, for this statement, or for the opinions we have formed.
Signed by BDO LLP
BDO LLP Statutory Auditor Guildford United Kingdom
Date 08/02/2021
BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127)
Page 30
ASPIRE SAVINGS TRUST
SUMMARY OF CONTRIBUTIONS PAID IN THE PERIOD
During the period 1 April to 16 November 2020, the contributions paid to the AST by the employers under the Payment Schedule were as follows:
£
Employer normal contributions Total contributions paid Reconciliation to financial statements: Contributions paid under Payment Schedule Members' Additional Voluntary Contributions Contributions receivable per financial statements
15,145 15,145
15,145 976
16,121
This summary approved and signed by the Chair of the Trustee on 25/01/2021
Approved and signed by the Chair of the Trustee
Dianne Day For and on behalf of Independent Trustee Services Limited Chair, Aspire Savings Trust
Page 31
ASPIRE SAVINGS TRUST
Page 32
ASPIRE SAVINGS TRUST
Page 33
ASPIRE SAVINGS TRUST
Page 34
ASPIRE SAVINGS TRUST
Page 35
ASPIRE SAVINGS TRUST
Page 36
ASPIRE SAVINGS TRUST
Page 37
ASPIRE SAVINGS TRUST
Page 38
ASPIRE SAVINGS TRUST
Page 39
ASPIRE SAVINGS TRUST
Page 40
ASPIRE SAVINGS TRUST
Page 41
ASPIRE SAVINGS TRUST
Page 42
ASPIRE SAVINGS TRUST
Page 43
ASPIRE SAVINGS TRUST
Page 44
ASPIRE SAVINGS TRUST
Page 45
ASPIRE SAVINGS TRUST
Page 46
ASPIRE SAVINGS TRUST
Page 47
ASPIRE SAVINGS TRUST
Page 48
ASPIRE SAVINGS TRUST
Page 49
ASPIRE SAVINGS TRUST
Page 50
ASPIRE SAVINGS TRUST
Page 51
ASPIRE SAVINGS TRUST
Page 52
ASPIRE SAVINGS TRUST
Page 53
ASPIRE SAVINGS TRUST
Page 54
ASPIRE SAVINGS TRUST
Page 55
ASPIRE SAVINGS TRUST
Page 56
ASPIRE SAVINGS TRUST
Page 57
ASPIRE SAVINGS TRUST
Page 58
ASPIRE SAVINGS TRUST
Page 59
ASPIRE SAVINGS TRUST
Page 60
ASPIRE SAVINGS TRUST
Page 61
ASPIRE SAVINGS TRUST
Page 62
ASPIRE SAVINGS TRUST
Page 63
ASPIRE SAVINGS TRUST
Page 64
ASPIRE SAVINGS TRUST
Page 65
ASPIRE SAVINGS TRUST
Page 66
ASPIRE SAVINGS TRUST
Page 67
ASPIRE SAVINGS TRUST
Page 68
ASPIRE SAVINGS TRUST
Page 69
ASPIRE SAVINGS TRUST
Page 70
ASPIRE SAVINGS TRUST
Page 71
ASPIRE SAVINGS TRUST
Page 72
ASPIRE SAVINGS TRUST
Page 73
ASPIRE SAVINGS TRUST
Page 74
ASPIRE SAVINGS TRUST
Page 75
ASPIRE SAVINGS TRUST
Page 76
ASPIRE SAVINGS TRUST
Page 77
ASPIRE SAVINGS TRUST
Page 78
ASPIRE SAVINGS TRUST
Page 79
ASPIRE SAVINGS TRUST
Page 80
ASPIRE SAVINGS TRUST
Page 81
ASPIRE SAVINGS TRUST
Page 82
ASPIRE SAVINGS TRUST
Page 83
ASPIRE SAVINGS TRUST
Page 84
ASPIRE SAVINGS TRUST
Page 85
ASPIRE SAVINGS TRUST
Page 86
ASPIRE SAVINGS TRUST
Page 87
ASPIRE SAVINGS TRUST
Page 88
ASPIRE SAVINGS TRUST
Page 89
ASPIRE SAVINGS TRUST
Page 90
ASPIRE SAVINGS TRUST
Page 91
ASPIRE SAVINGS TRUST
Page 92
ASPIRE SAVINGS TRUST
Page 93
ASPIRE SAVINGS TRUST
Page 94
ASPIRE SAVINGS TRUST
Page 95
ASPIRE SAVINGS TRUST
Page 96
ASPIRE SAVINGS TRUST
Page 97
ASPIRE SAVINGS TRUST
Page 98
ASPIRE SAVINGS TRUST
Page 99
ASPIRE SAVINGS TRUST
Appendix 1: The Trustee Directors of the Punter Southall Aspire Pension Trust Company Limited, the Trustee of the AST Independent Trustees Limited Dianne Day (Chair from April 2020)
Dianne joined Independent Trustee Services Limited in 2015. As a specialist in Defined Contribution pension schemes, Dianne has served as independent chair or member on a range of trustee boards and committees. Her portfolio includes occupational trusts, a master-trust and an Independent Governance Committee, most of which cater for auto-enrolled members. Before trusteeship, her executive career was spent in investment management roles, where she led several high-profile change projects involving stakeholder relationships with members, employers, consultants and regulators. She has a particular interest in the development of effective member and employer communications to improve contributions and adequacy for DC member outcomes. Dianne is Chair of the Trustee Board.
Angus Samuels
Angus Samuels has over thirty years' experience in the financial services industry. Angus started his career in South Africa as a stockbroker, and was a partner in Fergusson Bros, Hall Stewart & Co., a leading firm of South African stockbrokers, before emigrating to the UK in 1986. Angus has held a number of senior positions in the investment industry in the UK and South Africa. Earlier in his career Angus was Chief Executive of Sanwa Asset Management Limited and Credit Suisse Asset Management. In 1999 Angus was transferred to South Africa as Chief Executive of Sanlam Investment Management Ltd, the investment arm of Sanlam Ltd, the country's second largest financial services group and asset manager. Angus returned to the UK in 2003 as Chairman of Punter Southall Group Limited a UK based financial services group with over 800 employees, comprising Punter Southall Limited (consulting actuaries), PSFM Limited (Independent Financial Advisers regulated by the FCA), Punter Southall Aspire Limited, Punter Southall Health & Protection Consulting Ltd and PSigma Investment Management (an FCA regulated specialist wealth manager with over £2.4bn under management). Angus holds a number of other non-executive directorships including Sanlam Private Wealth Holdings Limited, Sanlam Investment and Pensions Limited, Sanlam Wealth Planning Limited and Nucleus Financial Group Limited.
Page 100
ASPIRE SAVINGS TRUST
Appendix 1: The Trustee Directors of the Punter Southall Aspire Pension Trust Company Limited, the Trustee of the AST (continued) Steve Carrodus (Chair to April 2020)
Steve has over 40 years' experience in the corporate pension and employee benefit market and has been involved in trusteeship work since 1991. He has worked for a number of major pension consulting firms and was involved in the formation of a new consultancy in the late 1980's. For much of his career Steve has been advising medium sized pension funds on all areas relating to the setting up and running of pension schemes and indeed in some cases in the winding up. Steve has a good understanding of investment issues and served as a member of the investment committee of one consulting firm for a number of years. This wealth of experience is of assistance in the trustee context to ensure that advisers are challenged, and their advice is fully understood by all trustees. Steve headed up a regional office of one major consulting firm for over 10 years and therefore has experience of business management which enables an understanding of the employer's position in relation to pension issues. Steve served for four years on the Council of the Pensions Management Institute, during which time he served on a number of the Institute Committees. Steve has also been involved in speaking at a number of technical seminars for clients and at trustee training courses. Recent experience includes trusteeship of DC master trusts and membership of Independent Governance Committees. Steve retired at the end of April 2020. Steve Longworth (Representing PTL Governance from April 2020)
Steve joined PTL in January 2020 and has more than 25 years' experience in pensions having spent time on both trustee and corporate clients at several pension consultancies. Steve is a qualified actuary and most recently worked for KPMG, but previously for PwC, Deloitte and Mercer. He brings a wealth of experience and knowledge, gained from dealing with the full breadth of pensions issues across a diverse range of schemes. His experience from working on numerous projects has brought him into contact with a wide variety of pension schemes, ranging in size from less than £10 million to more than £1 billion. Steve is a trustee on several pension schemes including schemes which are in the process of being wound up.
Page 101
GPL Ghostscript 9.21