Investment Strategy
Border to Coast Pensions Partnership manages approximately $60 billion in pooled assets on behalf of 11 Local Government Pension Scheme (LGPS) funds across northern and eastern England. Established in 2018 as part of the UK government’s LGPS pooling reforms, Border to Coast is one of the largest and most active asset pools in the system.
The 11 partner funds include Bedfordshire, Cumbria, Durham, East Riding, Lincolnshire, North Yorkshire, South Yorkshire, Surrey, Teesside, Tyne and Wear, and Warwickshire pension funds. Each partner fund retains control over its strategic asset allocation, while Border to Coast provides pooled investment vehicles and professional investment management.
Border to Coast’s investment approach spans public equities (UK, global developed, and emerging markets), fixed income, multi-asset credit, and alternatives including private equity, infrastructure, real estate, and private credit. The organization has built out its investment team rapidly since inception and now manages both internally and through external managers selected via rigorous due diligence processes.
The pooling model gives partner funds access to a broader range of strategies, lower aggregate fees, enhanced governance, and operational efficiencies that would be difficult to achieve individually. Border to Coast operates as an FCA-regulated investment manager.
Private Markets Approach
Border to Coast has developed a structured private markets program that represents one of the most significant LGPS alternatives initiatives in the UK. The program covers private equity, infrastructure, and private credit, with each area managed through dedicated pooled vehicles.
The private equity program commits to a diversified portfolio of buyout, growth equity, and co-investment opportunities globally. Border to Coast selects managers through vintage-year allocation cycles, evaluating track records, strategy differentiation, operational capability, and alignment of interests. The program targets net returns that exceed public equity benchmarks over the long term, compensating partner funds for the illiquidity premium.
Infrastructure is a major allocation area, reflecting the LGPS system’s strong appetite for real assets that provide inflation-linked income and long-duration cash flows. Border to Coast’s infrastructure program spans core, core-plus, and value-add strategies across energy, transportation, utilities, digital infrastructure, and social infrastructure. The program includes both fund commitments and co-investment capabilities.
Private credit has been developed as a distinct allocation, providing partner funds with exposure to direct lending, asset-backed lending, and special situations strategies. This allocation serves as both a return enhancer relative to traditional fixed income and an income diversification tool.
Border to Coast places significant emphasis on responsible investment across all its programs. The organization has published detailed RI policies and integrates ESG considerations into manager selection, monitoring, and engagement.
How to Approach
GPs seeking commitments from Border to Coast should engage with the investment team in Leeds. Border to Coast runs structured allocation processes for its private market programs, typically on an annual or semi-annual basis for each strategy area.
The team evaluates managers based on track record, strategy quality, team stability, operational infrastructure, fee competitiveness, and ESG integration. Given the pooled nature of the program, Border to Coast’s commitment sizes are substantial by LGPS standards, making it an attractive LP for managers seeking meaningful allocations from the UK institutional market.
GPs should review Border to Coast’s published investment policies, responsible investment framework, and annual reports to understand the organization’s priorities before approaching. The team attends major conferences including SuperReturn, the PLSA Investment Conference, and LGPS-specific events.
Frequently Asked Questions
How much does Border to Coast allocate to alternatives?
Border to Coast's partner funds collectively target approximately 15% of their combined assets in alternatives, though individual allocations vary by fund. Border to Coast manages pooled private equity, infrastructure, and private credit vehicles on behalf of its 11 partner funds. The pooled approach allows each partner fund to access institutional-quality managers while achieving fee savings and diversification at scale.
How can fund managers approach Border to Coast?
Fund managers should approach Border to Coast's investment team directly in Leeds. The team manages structured programs across private equity, infrastructure, and private credit, selecting managers through a rigorous due diligence process. Border to Coast runs periodic allocation cycles for its private market programs, and GPs can register interest and submit materials for consideration. The team attends major UK and European institutional investor conferences.
What is Border to Coast's typical commitment size?
Border to Coast's pooled private market commitments typically range from $75 million to $300 million per fund, reflecting the combined capital of its 11 partner funds. This collective scale makes Border to Coast one of the larger LP commitments available from the UK LGPS system. Individual partner fund exposures are allocated proportionally within the pooled vehicles.
