Use of long-dated bonds to calculate liabilities must end

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The Pensions Regulator's use of long-dated bonds to calculate scheme liabilities drives up deficits and should be scrapped, Morley Fund Management says.

Actuaries use the yield on double-A-rated corporate bonds as the discount rate for working out a scheme’s future liabilities. UK Sovereign fund manager Trevor Welsh said TPR and the Accounting Sta...

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