--- title: "Equity Overlay / Downside Risk Management" ocid: "ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7" canonical_url: "https://d3tenders.com/contract/?ocid=ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7" markdown_url: "https://d3tenders.com/contract/ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7.md" json_url: "https://d3tenders.com/contract/ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7.json" source: "Contracts Finder" current_stage: "Tender" buyer: "WIRRAL BOROUGH COUNCIL" published: "2022-12-19" --- # Equity Overlay / Downside Risk Management Buyer: WIRRAL BOROUGH COUNCIL Current stage: Tender OCID: ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7 [View canonical contract page](https://d3tenders.com/contract/?ocid=ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7) [Download OCDS JSON](https://d3tenders.com/contract/ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7.json) ## Summary The Wirral Borough Council has initiated a tender process for the procurement of Equity Overlay / Downside Risk Management services. The contracting process involves the renewal of an approved framework of equity overlay suppliers to offer overlay management services to manage equity risk on a medium-term and longer-term basis. The estimated contract value is up to £8,640,000, and the tender deadline is on 20th January 2023. The procurement method is a Competitive Procedure with Negotiation. This tender by Wirral Borough Council provides opportunities for asset managers to offer equity overlay solutions. The council aims to deploy mandates ranging from GBP 100m to GBP 2bn initially, with potential growth over time through the incorporation of other asset classes. Business ventures in financial and insurance services, particularly those offering equity risk management solutions, are well-suited to compete in this procurement process. ## Notice Northern LGPS is seeking to control equity risk on a medium-term basis and possibly on a longer-term strategic basis through the use of an equity overlay solution(s). Northern LGPS is looking to renew its framework of approved equity overlay suppliers to offer overlay management services as required during the framework duration. It is anticipated that mandates will be awarded on an individual basis to suppliers within this framework as required by the underlying plans. Suppliers must be able to offer equity risk / drawdown control through a broad range of overlay solutions ranging from basic put / put-spread protection through to more complex strategies (as required by individual awards within the framework), and may also be required to offer mechanisms for funding (e.g. synthetic equity replication or other funding routes). The approved supplier framework will target a minimum of 3 manager appointments. Northern LGPS are seeking proposals from asset managers. Bank or other non-fiduciary solutions will be excluded. Suppliers must be able to implement solutions using their own trading relationships. Proposals requiring use of client ISDAs will be excluded. Suppliers must be regulated to offer services to UK institutional investors. It is estimated that the Northern LGPS will seek to deploy Equity Risk Overlay mandates on up to GBP 3bn initially. This figure represents the client's total equity exposure that might be referenced by overlay proposals. Individual mandates within the framework are expected to vary in sizes ranging from GBP 100m to GBP 2bn, with the framework expected to deploy multiple overlay solutions over time. There is also the potential for aggregate mandate size to grow through the incorporation of other asset classes over time. Estimated contract value is PS7,236,000 (exc VAT) and PS8,640,000 (including VAT) Procedure Type is Competitive Procedure with Negotiation Additional information: The procedure for this tender will be based on a Competitive Process with Negotiation (CPN) process. bfinance, an independent investment consultant specialising in investment manager search and selection, has been appointed by the Northern LGPS to assist in the tendering process and will assist Northern LGPS in the evaluation of submissions. Please contact bfinance for any queries regarding the mandate requirements or process issues. Where relevant, answers to individual questions will be anonymised and communicated to all applicants. No canvassing or other contact should be made directly to Northern LGPS or any of its officers or members regarding this tender process. Subject to there being a sufficient number of responses meeting the selection criteria, Northern LGPS will select the 10 top scored qualified applicants to be invited to tender. FOR ALL QUERIES, ACCESS TO DOCUMENTATION, EXPRESSIONS OF INTEREST, SUBMISSIONS PLEASE ACCESS VIA THE OPPORTUNITY ON THE CHEST PORTAL VIA http://www.the-chest.org.uk Please note due to Christmas Shut down between 5pm Friday 23rd December 2022 and 9am Tuesday 4th January 2023 no questions will be answered during this period. ## Key Details | Field | Value | | --- | --- | | Publication source | Contracts Finder | | Latest notice | https://www.contractsfinder.service.gov.uk/Notice/ad031cba-f6ab-434c-8b1a-f2b5e3c148db | | Notice type | Tender Notice | | Procurement type | Standard | | Procurement category | Services | | Procurement method | Not Specified | | Procurement method details | Other - | | Tender suitability | SME, VCSE | | Awardee scale | Not specified | | All stages | Tender | ## Dates | Field | Value | | --- | --- | | Publication date | 19 Dec 2022 | | Submission deadline | 20 Jan 2023 | | Future notice date | Not specified | | Award date | Not specified | | Contract period | 30 Jul 2023 - 30 Apr 2027 | | Recurrence | Not specified | ## Values | Field | Value | | --- | --- | | Tender value | £7,236,000 | | Lots value | Not specified | | Awards value | Not specified | | Contracts value | Not specified | ## Status | Field | Value | | --- | --- | | Tender status | Active | | Lots status | Not specified | | Awards status | Not specified | | Contracts status | Not specified | ## Buyer | Field | Value | | --- | --- | | Main buyer | WIRRAL BOROUGH COUNCIL | | Locality | WALLASEY | | Post town | Chester | | Postcode | CH44 8ED | | Country | England | | ITL 1 | TLD North West (England) | | ITL 2 | TLD7 Merseyside | | ITL 3 | TLD74 Wirral | | Local authority | Wirral | | Electoral ward | Seacombe | | Westminster constituency | Wallasey | | Delivery location | TLC North East (England), TLD North West (England), TLF East Midlands (England), TLG West Midlands (England), TLH East (England), TLJ South East (England), TLK South West (England) | ## CPV Codes ### Divisions - 66 - Financial and insurance services ### Codes - 66000000 - Financial and insurance services ## Release History - 19 Dec 2022 at 16:29 - Tender - Tender Notice - https://www.contractsfinder.service.gov.uk/Notice/ad031cba-f6ab-434c-8b1a-f2b5e3c148db ## Documents - https://www.contractsfinder.service.gov.uk/Notice/ad031cba-f6ab-434c-8b1a-f2b5e3c148db 19th December 2022 - Opportunity notice on Contracts Finder ## Notice URLs - http://www.the-chest.org.uk - http://www.wirral.gov.uk/ ## Provenance This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-b5fd17-3dfc591e-27ba-4ec2-ad5b-74db8e577fc7.json.