buyout

Trustees hoping to secure a buyout must develop a contingency plan as the bulk annuities market could struggle to meet growing demand says a consultant.

More than £900m bulk annuity transactions were agreed between July and September 2012, bringing total business to £2.5bn in the year so far.

The use of liability driven investment strategies as a tool to move schemes towards buy-outs has fallen over the past year, SEI says.

The chance for schemes to exchange gilts for buy-ins at attractive prices is receding as the spread between gilts and corporate bonds contracts, warns Aon Hewitt.

The majority of financial directors and senior leaders say scheme deficits are hampering their business investments, research shows.

Booker Tate has agreed a buyout of its £20m UK defined benefit scheme with Pension Corporation.

Aon Hewitt has launched a free online service to help trustees assess whether their scheme is prepared to move to a buy-in or buyout.

Pension Insurance Corporation has restructured its board to include the director of £400m investor Reinet, while founder Edmund Truell will leave the firm.

Aon Hewitt has launched a bulk annuity settlement readiness assessment for UK pension schemes.

OCR has secured a buyout with Metlife Assurance for its £11m RSA Examinations Board Retirement Benefits Scheme.