Key Takeaways
- • Scottish Widows is among the first UK workplace pension providers to invest directly in venture growth companies, through the CG Scottish Widows Growth LTAF.
- • The initial targets are Oxford Quantum Circuits, Quantum Motion, Nyobolt and Genomics Limited, with IP Group managing the UK venture growth portfolio appointed by Aberdeen Investments.
- • The fund concentrates on quantum computing, advanced battery technology and AI applications in healthcare rather than broad technology exposure.
- • Aberdeen Investments' Nalaka De Silva says the partnership is one of the first active allocations by a UK DC workplace pension proposition into British science and technology companies.
Summary
Scottish Widows is among the first UK workplace pension providers to invest directly in venture growth companies, according to the source report. The CG Scottish Widows Growth LTAF will channel investment through IP Group, which Aberdeen Investments appointed to manage a portfolio focused on quantum computing, battery technology and AI-enabled healthcare. Initial targets include Oxford Quantum Circuits, Quantum Motion, Nyobolt and Genomics Limited.
The fund's strategy deliberately prioritizes these specific areas rather than broad-based technology sector exposure, reflecting a view that the UK can establish global leadership in them. Nalaka De Silva, head of private markets solutions at Aberdeen Investments, said a lack of sustained domestic capital had previously hindered the growth of competitive UK companies. "What competitive companies have lacked is sufficient pools of patient domestic capital to help them expand and grow," De Silva said. He described the partnership as one of the first active allocations by a UK DC workplace pension proposition to back British science and technology companies.
Scottish Widows chief investment officer Peter Fitzgerald said the partnership aims to connect workplace pension customers' long-term savings with high-growth British firms, opportunities traditionally limited to institutional investors. "We believe pension savers should be able to benefit from the growth and innovation taking place across the UK," Fitzgerald said.
IP Group chief executive Greg Smith said the fund broadens access for pension savers. "We are helping create a pathway for millions of pension savers to participate in the value created by technology leaders," Smith said, adding that the first UK investments span quantum computing, clean energy and healthcare innovation. Scottish Widows anticipates the initiative will unlock further growth and deliver long-term returns for its members. The source does not disclose fund size or allocation amounts.
The fund's strategy deliberately prioritizes these specific areas rather than broad-based technology sector exposure, reflecting a view that the UK can establish global leadership in them. Nalaka De Silva, head of private markets solutions at Aberdeen Investments, said a lack of sustained domestic capital had previously hindered the growth of competitive UK companies. "What competitive companies have lacked is sufficient pools of patient domestic capital to help them expand and grow," De Silva said. He described the partnership as one of the first active allocations by a UK DC workplace pension proposition to back British science and technology companies.
Scottish Widows chief investment officer Peter Fitzgerald said the partnership aims to connect workplace pension customers' long-term savings with high-growth British firms, opportunities traditionally limited to institutional investors. "We believe pension savers should be able to benefit from the growth and innovation taking place across the UK," Fitzgerald said.
IP Group chief executive Greg Smith said the fund broadens access for pension savers. "We are helping create a pathway for millions of pension savers to participate in the value created by technology leaders," Smith said, adding that the first UK investments span quantum computing, clean energy and healthcare innovation. Scottish Widows anticipates the initiative will unlock further growth and deliver long-term returns for its members. The source does not disclose fund size or allocation amounts.
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