UK - Prudential is considering closing its £4.8bn defined benefit scheme to new members.
The life insurer is currently holding discussions with pension fund trustees and employee representatives over the fund’s future.
A Prudential spokesman confirmed that it was making the review in light of other major companies closing their schemes to new members and over concerns at what was happening in the stock market.
She added that whatever changes were made the company would retain its commitment to existing members.
The company announced its half-year results last week which showed group insurance and investment sales up 36% on last year’s figures of £13.7bn.
Its fund management arm Prudential M&G won £1bn in fixed income assets during this period, but saw its profits fall £6m to £34m.Total sales of corporate defined contribution pensions amounted to £510m, up 41% on 2001’s valuation.
Prudential Group chief executive Jonathan Bloomer said: “We have made a good start to our goal of doubling the value of the group over four years.”
The PPI has unveiled a policy paper outlining current considerations and policy debates relevant to DC scheme default strategies. Kim Kaveh explores some of its views.
The £30bn local government pension pool has appointed Quoniam and Robeco to manage an active equity portfolio worth around £400m.
The volume of insured buyouts from FTSE 100 defined benefit (DB) schemes could increase from £5bn to £300bn by 2029, according to Lane Clark & Peacock (LCP).