Contract

Investment Risk System and Climate Risk Data Services

  • LOCAL PENSIONS PARTNERSHIP INVESTMENTS LTD

F03: Contract award notice

Notice identifier: 2022/S 000-023506

Procurement identifier (OCID): ocds-h6vhtk-03622c

Published 23 August 2022, 3:43pm



Section one: Contracting authority

one.1) Name and addresses

LOCAL PENSIONS PARTNERSHIP INVESTMENTS LTD

1 Finsbury Avenue

London

EC2M 2PF

Contact

Chief Legal and Compliance Officer

Email

Daniel.Evans@lppi.co.uk

Country

United Kingdom

Region code

UKI31 - Camden and City of London

Companies House

09835244

Internet address(es)

Main address

https://www.localpensionspartnership.org.uk/

one.4) Type of the contracting authority

Body governed by public law

one.5) Main activity

Other activity

Provision of discretionary investment management services to LGPS clients including pooling solutions


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Investment Risk System and Climate Risk Data Services

two.1.2) Main CPV code

  • 48411000 - Investment management software package

two.1.3) Type of contract

Supplies

two.1.4) Short description

Local Pensions Partnership Investments ("LPPI") requires an Investment Risk System to develop best practice internally and externally with regards to reporting and decision support and the provision of relevant security/asset climate change data and tools to assist LPPI to comply with the IIGCC Asset Manager Net Zero Framework and the Task Force on Climate-related Financial Disclosures (TCFD).

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £765,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

LPPI requires an Investment Risk System to develop best practice internally and externally with regards to reporting and decision support and the provision of relevant security/asset climate change data and tools to assist LPPI to comply with the IIGCC Asset Manager Net Zero Framework and the Task Force on Climate-related Financial Disclosures (TCFD).

The contract has been awarded to MSCI under regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 because competition is absent for technical reasons. LPPI considers MSCI to be the only provider that is able to meet all of LPPI's minimum requirements, which include but are not limited to an Investment Risk System that:

1. provides coverage for all of LPPI's asset classes, including private assets (without simply proxying to public market instruments) and compatibility with Barra's Real Estate Portal;

2. has a liquidity model, that can provide liquidity ladders and also is compliant with ESM Liquidity Stress Testing requirements;

3. provides AIFMD reporting as a managed service, driven by the positions loaded into the Risk system;

4. provides exposure reporting for all asset classes;

5. has the ability to add an unlimited amount of user data and categorisations to positions;

6. has the ability to create user defined, calculated metrics for reporting purposes;

7. has all three types of VaR model (Parametric, Historical and Monte-Carlo) and can incorporate fat tails into the VaR methodology;

8. provides stress testing of:

a. historical scenarios

b. hypothetical scenarios (correlated and uncorrelated)

9. subject to licencing, has the ability to load all of LPPI's fund risk and performance benchmarks; and

10. can represent the LPPI fund view as well as the client view including their balance sheet assets; and

11. can support climate change data and tools that effectively work alongside risk management data and tools.

two.2.5) Award criteria

Quality criterion - Name: . / Weighting: .

Price - Weighting: .

two.2.11) Information about options

Options: No


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • The procurement falls outside the scope of application of the regulations

Explanation:

Award of a contract without prior publication of a call for competition in the cases listed below

• Where the services can be supplied only by a particular economic operator because competition is absent for technical reasons

Explanation:

The contract has been awarded to MSCI under regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 because competition is absent for technical reasons. LPPI considers MSCI to be the only provider that is able to meet all of LPPI's minimum requirements, which include but are not limited to an Investment Risk System that:

1. provides coverage for all of LPPI's asset classes, including private assets (without simply proxying to public market instruments) and compatibility with Barra's Real Estate Portal;

2. has a liquidity model, that can provide liquidity ladders and also is compliant with ESM Liquidity Stress Testing requirements;

3. provides AIFMD reporting as a managed service, driven by the positions loaded into the Risk system;

4. provides exposure reporting for all asset classes;

5. has the ability to add an unlimited amount of user data and categorisations to positions;

6. has the ability to create user defined, calculated metrics for reporting purposes;

7. has all three types of VaR model (Parametric, Historical and Monte-Carlo) and can incorporate fat tails into the VaR methodology;

8. provides stress testing of:

a. historical scenarios

b. hypothetical scenarios (correlated and uncorrelated)

9. subject to licencing, has the ability to load all of LPPI's fund risk and performance benchmarks;

10. can represent the LPPI fund view as well as the client view including their balance sheet assets; and

11. can support climate change data and tools that effectively work alongside risk management data and tools.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

1 June 2022

five.2.2) Information about tenders

Number of tenders received: 1

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

MSCI Inc, MSCI Limited and affiliates

Ninth Floor, Ten Bishops Square

London

E1 6EG

Country

United Kingdom

NUTS code
  • UK - United Kingdom
Companies House

03981254

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Total value of the contract/lot: £765,000


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

The High Court

Strand

London

WC2A 2LL

Email

generaloffice@administrativecourtoffice.justice.gov.uk

Country

United Kingdom

Internet address

https://www.gov.uk/courts-tribunals