Latest articles from Emma Powell

Schemes eye forward rates to time hedge moves

Larger schemes are showing greater interest in using forward rather than spot rates to assess whether to increase their interest and inflation hedges, in order to gain a more accurate picture of fair value.

Smaller schemes combine service provision to reduce legacy burden

Leading benefit consultancies have reported more small to medium-sized schemes are bundling services under a single provider in response to a growth in legacy arrangements and to benefit from economies of scale. 

Confronting the scourge of the ever-growing meeting pack

Any other business: Is there a trustee out there that makes it through every page of their meeting bumpf?

USS revamps covenant assessment model in face of funding challenge

The Universities Superannuation Scheme has opted for a more thorough covenant assessment due to changes in higher education funding and an expected increase in its deficit from this year’s triennial valuation.

Schemes consider money purchase reversion to reduce employer risk

Legal experts have reported that schemes caught by the recent change in the definition of money purchase are trying to amend their benefits structures to remove the additional risk of guarantees.

Diageo tips into matching assets after hitting trigger

Diageo Pension Scheme has switched 5 per cent of its assets from its growth to its matching portfolio after hitting a derisking trigger, tipping its investment balance towards holdings that track liabilities.

Xerox to protect repayment power amid legal uncertainty

Xerox Final Salary Pension Scheme is planning a resolution allowing it to continue to make repayments to its sponsor, but legal experts are split on whether such a move is necessary or will even be effective.

Scheme managers raise doubts on joint LGPS governance boards

Local authority schemes have raised concerns over whether incoming pensions boards can be combined with their existing section 101 committees, one of the options in the government’s consultation on governance in the Local Government Pension Scheme.

Bromley mulls 10% illiquids allocation as cash flow worsens

The London Borough of Bromley Pension Fund is considering a 10 per cent allocation to illiquid assets to provide greater returns and inflation linkage, in expectation of turning cash-flow negative within seven years.

Schemes have scope to delve deeper into illiquids, but confidence lacking

Defined benefit schemes are showing increased interest in illiquid alternatives as they hunt greater yield and diversification, but many lack sufficient resources and the confidence needed to execute such investments.