With demand for bulk buyouts currently exceeding market capacity, there are serious problems for trustees in the process of winding-up final salary pension schemes
The demand for bulk buyouts currently exceeds mark- et capacity, creating serious problems for trustees in the process of winding up final salary pension schemes. In particular, trustees are finding it almost impossible to buy deferred annuities ' one of the most difficult risks for insurers to underwrite. The problems with bulk buyouts have been largely neglected in the debate over the closure of final salary schemes. Press attention has focused on the more immediate issues associated with the transfer of members to money purchase schemes. However, with 10% of final salary schemes i...
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