Inflation

Rising inflation would prove beneficial to FTSE100 pension schemes if it exceeded current level by just 1.4 percentage points, research reveals.

GLOBAL - The emerging markets and commodities boom along with the effects of the economic stimulus packages mean pension schemes have found themselves struggling to make sense of inflation expectations, a new report suggests.

UK - Only 15% of pension schemes have 50% or more inflation-linked assets matching their liabilities, suggesting most are structurally underhedged, research shows.

Scottish & Newcastle pension scheme members are asking government to investigate Heineken over claims the brewer reneged on its promise to provide discretionary pension increases each year.

Joe Roseman on inflation peril

Interest rate hedges by pension funds fell by 24% over the first quarter of the year, hit by a difficult swap market and stale funding levels, F&C reports.

CHINA - Chinese growth raced ahead 9.7% in the first quarter of 2011, while inflation hit its highest level since 2008.

With the Bank of England pessimistic about long-term inflation targets, Charlotte Moore considers scheme strategies for mitigating this unrewarded risk

Henry Boot shaved £10m to £12m off its pension liabilities last year through an enhanced transfer value exercise and switching to RPI indexation, results show.

UK pension buyouts rise; UK pension schemes prepare for inflation; We can move fast, but not all the time