A clear path through DB consolidation

Over the past few years, the UK’s defined benefit (DB) pension landscape has undergone regulatory and market changes. After focusing on deficit recovery for years, many DB schemes now have improved funding positions, shifting the focus toward endgame planning. Buy-in / buy-out has long been seen as the default endgame for many schemes, but the UK Government is supportive of pension scheme consolidation, fuelling the rise of alternative strategies. Consolidation is increasingly being used either as a long-term run-on solution or as a vehicle toward a superfund or buy-out. Trustees and sponsors...