Magnox Electric Group (MEGT)

Magnox Electric Group (MEGT)

Magnox Electric Group (MEGT) operates as the corporate pension fund for employees linked to the UK's Magnox nuclear reactor sites, now managed under the Nuclear Decommissioning Authority. The scheme sits within the broader Electricity Supply Pension Scheme framework and is governed by the Magnox Electric Group Pension Trustee Company Limited, currently chaired by Susan McMillan. Its beneficiaries are concentrated in the decommissioning and energy sectors, giving the fund a liability profile shaped by industrial longevity and government-adjacent backing. The fund deploys capital across a deliberately physical portfolio. Confirmed exposures include the Unitised Forestry Fund, which holds timberland across Northern England and Scotland, and a Commercial Ground Rents Fund focused on UK property. A global infrastructure allocation rounds out the strategy, alongside continued timber and forestry exposure. The fund uses fiduciary manager SEI to execute its investment strategy, with a stated commitment to ESG principles through UN PRI adherence and GRESB signatory requirements for property managers. The geographic footprint is deliberately bifurcated: domestic real assets in the UK and infrastructure exposure that reaches global markets. Professor Andrew Clare provided investment committee leadership for twelve years, stepping down in 2023. The scheme mandates annual climate-related financial disclosures under the TCFD framework, a posture that aligns with both its nuclear-sector heritage and its hard-asset book. While the total deployment remains undisclosed, the fund maintains specialized allocations that suggest a multi-hundred-million-pound asset base typical of closed corporate schemes of this vintage. The scheme's structural distinction lies in its liability-driven asset selection: timberland and ground rents produce long-duration, inflation-linked cash flows that directly offset pension obligations to nuclear workers with multi-decade life expectancies. Rather than outsourcing to a pooled fund, MEGT retains a direct governance role through its trustee company, a structure that gives the board explicit oversight of asset selection — unusual for a legacy corporate scheme of its size.