Aggressive investment doubles DB risks

In the latest figures from its ‘Prudence Index’ which launched in November, the firm of consulting actuaries reveals there is a wide variation in the way defined benefit (DB) scheme trustees and employers are interpreting the concept of ‘prudence’ under the new scheme specific funding regime. LCP says the index provides trustees and employers with an indicator of the prudence of their scheme’s funding and investment strategy compared to other pension schemes, based on the financial strength of the sponsoring employer. But findings from the study, consisting of more than 150 schemes with...