Pension schemes significantly heightened their interest rate and inflation risk hedging in the second quarter of the year, according to BMO Global Asset Management.
This year has seen the fastest bear market in history end one of the longest-ever bull markets. Tommaso Sanzin looks at how scheme investments can respond.
Pension schemes have considerably stepped up their preparations for Brexit over the last year, despite the outcome still not being known, the Pensions and Lifetime Savings Association (PLSA) has found.
Over half of all UK defined benefit (DB) schemes have reduced their investment in equities over the last two years while diversifying into alternative growth assets, according to Aon.
Schemes need to get in place a "robust hedging strategy" to mitigate the impact of sudden falls in gilt yields, Buck has said.
Just under two-thirds of trustees have taken action to prepare for the impact of any Brexit outcome on their sponsor covenant and investments, Hymans Robertson research finds.
Nearly 2,500 DB schemes are now using LDI to hedge their liabilities, XPS Pensions finds. James Phillips looks at the increased use of the product over 2018.
The amount of hedging against interest rate risk rose to £31.7bn in the fourth quarter of last year, according to BMO Global Asset Management.
An overwhelming majority of this week's Pensions Buzz respondents agreed with the Pensions and Lifetime Savings Association (PLSA) that national retirement income targets should be developed to help people understand how much to save for retirement.
Funds that match and link credit with liability-driven investing (LDI) have been launched by BMO Global Asset Management in a bid to simplify the process of de-risking defined benefit (DB) schemes.
Speculation about rate rises has caused some schemes to delay any further liability hedging. Rosalind Mann looks at why this may be the wrong move.
Hedging appetite fell during the second quarter of this year as a lack of index-linked gilt supply continued to bite, BMO Global Asset Management has said.
The UK's 350 largest listed companies are becoming increasingly unlikely to be able to meet their pension obligations, PwC research has suggested.
There are big questions about currency hedges when sterling has fallen so significantly since Brexit. Schemes should revisit that hedge and prepare for further volatility, says Stephanie Baxter
Pension funds have been given extra time to prepare for potentially onerous rules requiring their over-the-counter (OTC) derivative transactions to be centrally cleared.
Some schemes are failing to concentrate on their growth portfolios to generate returns because they have become distracted by hedging, according to research.
Scottish Power has completed a longevity swap with Abbey Life to hedge £1bn of liabilities, covering 4,000 pensioners in the Manweb section of the Electricity Supply Pension Scheme.
Financier Edmund Truell believes he can protect British Steel benefits. Michael Klimes examines the details
Twice as many FTSE 350 companies with defined benefit (DB) schemes are supported by a weak sponsor covenant than in 2006 according to PwC.
While moving to CPI indexation can significantly reduce scheme liabilities, it can make buy-ins and buyouts more expensive. Kristian Brunt-Seymour finds pricing has slightly improved but still has a long way to go
Actions to tackle the lack of data quality must be spearheaded by the industry, according to JLT Employee Benefits' Bala Viswanathan.
Standard Life Investments has set up a team to manage a proposition offering low risk growth alongside liability hedging for defined benefit (DB) schemes.
The Merchant Navy Officers Pension Fund has raised its funding level by 10% since 2012.
The £2.7bn Merchant Navy Officers Pension Fund (MNOPF) has improved its funding level to 79% after increasing its liability hedging ratio to 95% of assets.