Risk Reduction

2017 marks Legal & General's 30th year in the bulk annuity market. In this article Ashu Bhargava discusses how pricing has evolved in that time, ultimately giving pension scheme trustees greater opportunities than ever to de-risk.

Vesuvius has signed a £15m deal with Pension Insurance Corporation (PIC) to insure further pensioner members in its UK defined benefit (DB) scheme.

More than half (55%) of defined benefit (DB) schemes are now cashflow negative, yet many do not have formal de-risking plans, according to research.

The Continuous Mortality Investigation's (CMI's) longevity model is a useful projection tool for schemes but, as Amy Kessler explains, it has key limitations.

The 3i Group Pension Plan has completed a £200m buy-in with Pension Insurance Corporation (PIC), its first insurance policy so far.

The trustees of the Tullett Prebon Pension Scheme have agreed to insure all liabilities through a bulk annuity with Rothesay Life.

Deficits could fall by hundreds of billions of pounds if the six-year stall in life expectancy improvements becomes a long-term trend. However, there is a risk of taking too much notice of short-term changes, writes Stephanie Baxter.

Schemes could see huge reductions in their liabilities on a funding basis if the recent slowdown in life expectancy improvements becomes a long-term trend, according to PwC.

Sponsoring employers are increasingly updating mortality assumptions at a more frequent rate to keep on top of changes in pension liabilities, according to Mercer.

Trustees of the Monsanto Pension Plan have agreed a £100m buy-in, protecting benefits for around 150 pensioners.