GLOBAL - A combination of strong returns from funds investing in traded life policies (TLPs) and stock market volatility have resulted in a huge increase in the amount of money institutional investors have invested in TLP funds, according to fund manager Managing Partners Limited (MPL).
TLPs are United States-issued life assurance policies sold before the maturity date to allow the original owner to enjoy some of the benefits during their lifetime. They are purchased at a discount from their maturity value, which in the majority of cases is fixed at outset, which means that they are guaranteed to rise in value.
Jeremy Leach, managing director of MPL, said: "With the current stock market volatility institutional investors have increasingly been looking at alternative asset classes that can deliver smooth attractive returns.
"TLPs provide just this, which institutional investors and pension fund managers are increasingly becoming aware of."
Industry experts are calling on the government to act quickly on new pensions dashboard legislation. The DWP is looking at how to do it amid Brexit constraints, writes Kim Kaveh.
An interactive and hands-free technology that allows savers to track how much they have invested into their retirement pots has been launched by Smart Pension.
The Lighthouse Pensions Trust has recorded an 84% surge in the number of employers signed up to its auto-enrolment (AE) provision.
Melrose Industries's UK defined benefit (DB) schemes had a £5.5m combined deficit at the end of 2016, its annual results have revealed.