Changing World, New Opportunities Naomi Clark on USS' Investment Strategy
Jan 16, 2026
In this engaging discussion, Naomi Clark, the Head of Investment Product Management at USS, shares her insights into the evolving landscape of investment strategies. She emphasizes the importance of strong governance in achieving diversification amid uncertainty. Naomi also highlights USS's significant focus on private markets, revealing how they are integrating these assets into defined contribution plans. With an update on USS's net zero journey and participation in the Mansion House Accord, this conversation touches on innovation, sustainability, and the future of investment.
AI Snips
Chapters
Transcript
Episode notes
Measure More Than Market Returns
- Use a balanced scorecard to measure investment performance across multiple dimensions, not just benchmarks.
- Delegate decision authority and use independent 'critical friend' advisors to keep governance nimble and accountable.
Diversify For Long-Term Outcomes
- USS insists on broad global diversification and exposure to illiquid risk premia as long-term return drivers.
- Forward-looking scenario analysis guides asset allocation across climate and geopolitical risks.
Private Markets Scale And UK Focus
- USS holds £26bn in private markets, with around 45% invested in the UK and many directly-held assets such as motorways and energy infrastructure.
- The scheme runs a large internal team focused on direct ownership and active asset management to add value.