In my previous column, I talked about the importance of all London pensions fund authority (LGPS) pension funds adopting asset and liability management techniques.

So, it is pleasing to see that recent research undertaken by SEI found that pension plans worldwide have continued to utilise liability driven investment (LDI) strategies in order to mitigate the risks of changes to interest rates, inflation and longevity.

This is despite out-performance by global and domestic equity markets and a continued low interest rate environment in 2013.

Now in its seventh year, the poll found that more than 57% of respondents currently use an LDI strategy. Another 20% said that they planned to implement LDI strategies in the next few years.

This got me thinking about the importance of good data and how the administration and investment functions of pension funds are intrinsically linked. The cleaner the data you have to calculate your liabilities, the better returns you will achieve from your LDI strategies.

The advances in online technologies that allow fund employers to bulk upload data and fund members to update their personal details online, not only save time and
money, but also reduce the risk of human error.

These are services we have provided to the employers in our fund and to the many local authorities we also provide services for.

The automation of data delivery and electronic communication with employers and fund members is key to my long-term vision for a smaller number of LGPS Super Pools.

While the real economies of scale and reduced fund manager fees will come from larger investment pools, the savings in streamlining and fully automating administration functions should not be underestimated.

Early next month I will be attending the National Association of Pension Funds (NAPF) Investment Conference in Edinburgh, where I am sure there will be healthy debate about this as well as other hot topics affecting pension funds in the coming year.

As well as being chief executive of the LPFA, I am also the PPMA's policy lead on pensions and lead the PPMA Pensions Network.

As we approach a period of huge change for the majority of public sector pension schemes, the PPMA network provides HR professionals with an excellent way to keep up-to-date with developments. It also enables pensions HR professionals to gain an improved understanding of current pensions issues, have their views promoted at the highest level and share best practice in this key area of responsibility.

Susan Martin is chief executive at the London Pensions Fund Authority