Risk-sharing 'only solution' to DB closures say actuaries

Speaking at the National Association of Pension Funds’ (NAPF) annual conference, Ian Farr, chairman of ACA, says despite a continued reduction in scheme deficits, many employers are unwilling to continue with pension arrangements which could potentially damage the financial performance of their core business. However, in a presentation alongside Richard Mulcahy of Hewitt, ACA says the solution to the closure of defined benefit (DB) schemes is not the wholesale adoption of defined contribution (DC) schemes, as many employers want to do more while employees want a greater level of security....