Latest articles from Benjamin Mercer

Global Pensions Wrap: December edition

Dec2020 wrap (teaser)

Our monthly roundup of the best international pensions stories published by the FT’s outlets features President Trump banning investments in China, allegations of insider trading levelled against Australian superannuation funds, and an existential crisis for Chile’s pensions system.

Pension scheme strategies not fit for ‘purpose’

News On the Go

On the go: The number of trustees having to alter their scheme’s long-term plans in the past year suggests pension scheme strategies are “not fit for purpose”, according to new research.

RPI reform to leave linker owners short-changed from 2030

The government is to press ahead with controversial reforms to the retail price index leaving index-linked gilt holders worse off, but has decided to delay the move until 2030.

Cyber security awareness lags as attacks jump threefold

News On the Go

On the go: A third of respondents to a poll by the Pensions and Lifetime Savings Association confessed they did not know their organisation’s cyber security plans, despite cyber crimes surging by 86 per cent in a single quarter this year.

Master trusts warn cost concerns overshadowing investment quality

Data crunch: Master trust providers are concerned that their clients excessively focus on cost to the detriment of investment propositions, according to a report by the Defined Contribution Investment Forum.

PPF reserves could be ‘wiped out’ by one or two big claims

Watch: Pension Protection Fund chief executive Oliver Morley has warned that the lifeboat’s reserves could be wiped out by just a few large claims, while downplaying the risk of a post-Covid run of small-scheme claims.

Weekly roundup: Insolvency, insolvency, insolvency

Welcome to Pensions Expert’s roundup of a week that focused, somewhat depressingly, on the pensions implications of a wave of expected corporate insolvencies. And of course, guaranteed minimum pensions.

Experts wary on BoE governor’s DC pandemic recovery call

The governor of the Bank of England has suggested rules should be relaxed to allow defined contribution schemes to play a part in the post-Covid economic recovery, but experts warn some structural problems remain.

HMRC’s leapfrog on insolvencies to hinder PPF recoveries

Government changes to prioritise the payment of insolvent businesses’ tax bills at the expense of other creditors could reduce recoveries by the Pension Protection Fund and adversely impact levy payers, according to the lifeboat.

RPI reform holds back schemes’ inflation hedging

News On the Go

On the go: Inflation hedging decreased by 13 per cent quarter-on-quarter in the third quarter of this year amid ongoing concerns about reform to the retail price index, according to the latest BMO Global Asset Management liability-driven investment survey.