Inflation

The threat to pension funds posed by soaring inflation and interest rate rises can be cushioned using absolute return strategies, Aviva Investors says.

UK - Inflation edged closer towards 4% in December as the rising cost of food and oil products continued to hit the price of goods and services.

The Bank of England must increase interest rates this week to protect pensioners from the effects of high inflation, Ros Altmann says.

Inflation figures published today prove the government is making poor people worse off by using CPI for measuring pension payment increases, Labour says.

UK - The combined pension deficit of FTSE100 firms could jump by £25bn ($39.7bn) in one month due to unhedged risk exposure, a report suggests.

Chris Wagstaff, of Aviva Investors looks at what inflation means for defined benefit schemes, the implications of implementing a new inflation indexing basis and whether inflation remains a threat

Schemes need to be wary of future deflationary pressures when managing liability risks, LCP says.

Government is contemplating legislative action to loosen strict rules preventing more than half of schemes switching from RPI to CPI inflation increases, PP can reveal.

Member benefits will be compromised if the Consumer Prices Index is used instead of Retail Prices Index to measure price inflation, MetLife Assurance says.

Government proposals to link increases in public service pensions to the CPI will force thousands of couples to delay divorce proceedings, an actuary warns.