Aon analysis finds best funding levels for 2019-2020 valuations of any historic tranche
A self-sufficiency approach is not riskless and trustees must consider covenant strength and longevity exposure. Chris Ramsey looks at the key considerations of running schemes on.
Almost all UK defined benefit (DB) schemes (92%) have set clear long-term funding targets, with most focused on buyout or self-sufficiency, according to Aon.
The introduction of long-term funding targets for defined benefit (DB) schemes could create an accounting gap of £260bn between the liabilities reported by companies and schemes, XPS Pensions has warned.