Hermes Liberty, the alliance between Hermes Investment Management and Liberty International Pensions, is set to provide stakeholder pensions services to affinity groups, large employers and trustees of occupational pension schemes.

The recent launch of six new index-tracking funds means Hermes Liberty can provide a wide range of investment options within the 1% cap on fees that has been set by the government on stakeholder, said Anthony Ese, marketing director of Hermes.