Welcome to the Summer 2019 edition of Pension Pulse. This publication from our Pension Solutions and Advisory Group provides UK pension funds with timely updates on market trends, funding levels and the latest industry and product developments.
Pension funds don’t face the many constraints that make buy and maintain strategies so well-suited to insurers, and can make use of these freedoms when designing portfolios to meet the liability-aware investment needs of pension funds.
UK pension plans concerned about how to invest in a volatile, late cycle environment may want to consider two practices: continue effective rebalancing and don’t postpone further duration hedging in anticipation of rising rates.
‘Nine things to think about in endgame investing’, ‘Can UK pension funds survive the short term to thrive in the long term?’, ‘Prescriptions for late-cycle portfolio construction’ and ‘Three ways exposure to multi-asset credit can help DB plans’.
Many UK defined benefit (DB) pension funds are well along on their de-risking journey. What lies ahead now is relatively unexplored territory. Here we set out things to consider in building a runoff investment strategy.
Is your portfolio fit to clear late-cycle hurdles? We consider plausible recession scenarios and how they might challenge different types of investors to survive the short term so they can thrive in the long term.