The fund suspended its arrangement with Northern Trust in September after the announcement of the Financial Services Authority ban.
That month, it also suffered the loss of Lehman Brothers as its counterparty in its stock-lending programme after the investment bank went bust.
Richard McIndoe, head of pensions at the fund, said: “Our lending programme remains suspended and that’s likely to be the case for the foreseeable future.
“It was always a marginal source of income for us and we’re happy to forego that by staying out of the lending market.”
The Strathclyde fund had £27m of stock on loan with Lehman, but this was fully collateralised and was reinstated within a matter of days at no cost.
The fallout from the financial crisis has revealed itself in the fund’s top 100 investments list (as of December 31, 2008).
The fund’s three biggest investments are with Vodafone, GlaxoSmithKline and HSBC.
After this, the Royal Bank of Scotland Group, once billed as the sixth biggest bank in the world, is currently only its 78th biggest investment and the only other UK high street bank among its top 100 investments.
The fund saw the value of its investments fall from £9.2bn to £8.4bn between June and September last year.
Its last investment report highlighted overweight positions in corporate bonds with Western Asset Management, and large losses in financial holdings with Alliance Bernstein exacerbating these falls.
