Pension funds across the world face a wide range of issues when it comes to investing in infrastructure, but for some, political risk and lack of supply are the biggest barriers.
Full cash withdrawals are still dominating the retirement income market, according to analysis by the Financial Conduct Authority, as concerns were raised over consumer reluctance to seek financial advice.
The Local Government Pension Scheme has introduced a check tool for members as the lifetime and annual allowances complicate life for those with large defined benefit pensions and higher salaries.
The pensions industry must focus on technology and consumer engagement to keep up with changing demographics and work habits, but opinions are divided over whether robo-advice is the best solution.
A wide-ranging government green paper is exploring a number of possible changes to improve the sustainability of defined benefit schemes, but although experts welcomed the variety of issues discussed, some noted a lack of urgency.
Investment manager Henderson Group has agreed a recovery plan with its trustees after its defined benefit scheme fell out of surplus at the latest triennial valuation.
Comment & Analysis
Editorial: The defined benefit green paper published this week has caused consternation in many parts of the pensions industry, which expected to see a more decisive take on the issues facing DB.
Large defined benefit funds and defined contribution mastertrusts have long been using their investments to engage with or divest from companies involved in controversial practices. Now, a renewed public focus on environmental, social and governance issues, as well as corporate reporting, could convince more to follow.
Aon Hewitt’s Lucinda Downing makes the case for currency hedging and states where and how schemes can do so.
Video: With short-term inflation rising, are interest rates likely to go up, and should unhedged schemes go into LDI now? How can growth assets be combined with LDI products, and what role will cash flow play for LDI strategies? Jonathan Crowther, head of UK LDI at Axa Investment Managers, and Sophia Heathcoat, investment consultant at Barnett Waddingham, discuss their expectations for LDI.
Video: As the Pensions and Lifetime Savings Association has highlighted four areas for potential change to the defined benefit landscape, Ashok Gupta, who chairs its DB Taskforce, talks about the proposals and the taskforce's aims.
Video: As the Bank of England has cut rates and launched into a new round of quantitative easing, what are the effects on pension schemes and where can they seek cover? Aon Hewitt partner Lynda Whitney gives answers.