The Bank of England's decision to hold interest rates at 0.5% has temporarily eased the pressure on pension schemes but poses dilemma for trustees, JLT Employee Benefits says
Schemes with leveraged liability driven investments (LDI) may have reduced their deficits following the Brexit vote.
The Local Pensions Partnership (LPP) has created a £1.2bn property investment pool to increase exposure to UK commercial and residential property.
Liabilities of defined benefit (DB) schemes have increased markedly according to the Pension Protection Fund's (PPF) 7800 Index.
Twice as many FTSE 350 companies with defined benefit (DB) schemes are supported by a weak sponsor covenant than in 2006 according to PwC.
Brexit is likely to reduce the urgency from trustees to take action on guaranteed minimum pensions (GMP) equalisation according to Anna Rogers.
A trend whereby insurers are providing fewer buyout quotations for smaller schemes has accelerated since the end of 2015, according to JLT.
The cost of longevity risk for defined benefit (DB) schemes has increased by 50% in the past 12 years due to falling long-term interest rates.
This week we want to know if schemes need a different approach in how they calculate liabilities and if NEST will repay its loan to the government.
The industry has to be more flexible to make defined benefit (DB) schemes more sustainable during this time of economic uncertainty says Ros Altmann.