Omicron variant spurs hedging activity increase

Hedging increases continue despite RPI reform clapback

clock • 3 min read
Omicron variant spurs hedging activity increase

Pension scheme inflation hedging activity increased by 24% quarter-on-quarter to £24bn during the final three months of 2021, according to BMO Global Asset Management.

According to BMO's latest quarterly liability-driven (LDI) investment survey, total interest rate liability hedging activity also increased in the quarter to £46.5 billion, a rise of 27%, on the ba...

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