Reading Time: 3 minutes The scale of the big UK DB pensions asset reshuffle of 2022. I was wondering, can we use public data to get a rough handle on numbers and scale of the asset movements triggered by recent market events on a rainy Sunday? I think we can. Summary 🔄£270-380BN asset flow needed to rebalance (workings below). … More The Big DB Pensions Asset Reshuffle
Reading Time: 9 minutes Well well well. I’m sat here on a Sunday afternoon at the end of quite a week. Heading into the office Monday morning I had little idea that we would potentially be caught up in a serious market event that had global ramifications, and at the heart of it all would be the risk management … More LDI: how we got to now
Reading Time: 2 minutes It’s not been a good summer for the financial health of UK DB pension funds. Data released by the PPF in September underlined a summer of bad news for schemes and scheme sponsors. A continued trend of falling gilt yields have seen liability values increase dramatically – adding more than £200bn to the aggregate deficit … More Grim Summer for DB Pensions
Reading Time: < 1 minute DB Pensions News September 2016
Reading Time: 3 minutes Over the course of 2015 I had over 6,500 views of my blog posts (across the WordPress and LinkedIn platforms, an average of around 18 per day) – hardly viral I grant you but something I’m quite pleased with, given the admittedly relatively niche content! Overall in three years of blogging I’ve now received around … More Volatility & LDI – 2015’s Most PopularÂ
Reading Time: 2 minutes In the final update of the PPF’s index of UK pension funds to be published in 2015, data showed that asset and liability values are set to end 2015 close to where they started, in spite of considerable volatility seen during the year. The overall funding level on the PPF basis was around 83% in November … More UK Pension Liabilities Steady in 2015
Reading Time: < 1 minute I’ve been talking a lot about LDI recently, for example see here and here, and these posts are popular- being among my most viewed this year! No particular catalyst for this I don’t think but it is interesting to look back and chart the expansion of what has become a significant part of the industry … More LDI (again!)
Reading Time: 4 minutes The first 12 years of Liability Driven Investing (“LDI”) in the UK have seen remarkable growth in number of mandates (from a handful to over 1,000) and in liabilities hedged (from <1£bn to over £650bn). Overall, as I covered in a previous post I think it’s fair to say from a neutral standpoint that the … More The Future of LDI
Reading Time: 2 minutes The PPF today published its monthly estimates of scheme funding position for the schemes in the PPF 7800 index. Not surprisingly, given the market moves over September 2015, and over the third quarter generally we saw a 5% decline in funded status over the quarter due to both declining asset values and increasing liabilities. It’s … More Mind the gap – funding levels fall as market volatility hits assets
Reading Time: 2 minutes In the longevity-hedging space, 2015 is on track to match 2014 as a record year for the total volume of hedging deals, highlighting the significance of this area within the pensions space. Following the Scottish & Newcastle deal in September 2015, the widely followed artemis.bm blog listed c£30bn of liabilties hedged so far in 2015 compared … More Live Long & Hedge?
