Latest articles from Charlotte Moore

Schemes urged to revisit buyout plans in rising rate environment

John Sibley/Reuters

Rising interest rates and the subsequent fall in liability valuations and deficits have now made buyouts more affordable for a larger number of pension funds, with consultants urging schemes to restructure their investment strategy to make it more palatable to an insurance company.

Rising rates pose challenges for closed DB schemes’ LDI portfolios

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While interest rate and inflation hedges have helped many defined benefit schemes stabilise their funding positions, the current macroeconomic environment is creating challenges for some closed plans, which might not have the necessary collateral in place to meet high payments.

Clara-Pensions plans Q3 deal after regulatory approval

Fotoware

Clara-Pensions is planning to announce its first transaction in the third quarter of this year, as founder and outgoing chief executive Adam Saron details the types of pension schemes that are likely to find value in the defined benefit consolidator’s business model.

Corporate bond managers urged to explain climate transition risks

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As defined benefit schemes are increasingly expected to replace their equity portfolios with corporate bond holdings in their journey to reach funding targets, pension funds and their asset managers are being urged to carefully assess companies’ attitudes to climate transition risks.

Pension funds advised to keep close eye on inflation

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Recent spikes in inflation have led consultants to advise schemes against buying overpriced hedges and urging them to stay underhedged over the next three years, while looking elsewhere for inflation-linked returns.

Border to Coast set to focus on fixed income in 2020

The Border to Coast investment pool is looking to widen the range of fixed income products it offers to local authority pension scheme clients in 2020, according to its chief executive.

Authorised master trusts look ahead to supervision

The newly authorised master trust sector is bracing itself for a further increase in regulatory scrutiny as the supervision regime takes hold, since one-to-one supervision and annual statement requirements could amount to something approaching a “mini-authorisation” once a year.

Choppy waters: How schemes can invest in volatile markets

As the years of easy returns draw to a close for now, how can pension schemes ensure they do not lose what they have gained?

Would Brexit mean less red tape for UK schemes?

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Analysis: The volume of European regulatory changes has radically increased the governance burden on UK pension schemes in recent years; voting to leave the European Union must be tempting for trustees keen to cut the red tape.