Pensions Reassess Long-Term Outlooks as Volatility and Inflation Remain High
Market conditions could push some plan sponsors to consider risk transfers sooner, but funded status remains a key concern.
Market conditions could push some plan sponsors to consider risk transfers sooner, but funded status remains a key concern.
However, insurance companies likely won’t be able to accommodate the increased demand.
Prudential, MetLife to take over responsibility for 100,000 participants and beneficiaries.
A huge transfer from Lockheed cemented its lead, says S&P, as pension shifting grows.
Increasing funding levels are expected to spur another big year for pension risk transfers.
More than 90% of corporate DB plans with de-risking goals say they expect to divest all their plan liabilities in the next five years.
Intensifying regulation, rising operational costs, and increasingly complex investments were cited by the beleaguered airline.
The trend is mounting for corporate sponsors to shunt liabilities to insurers. But some don’t want to do that, and others can’t.
Without thoughtful preparation, offloading liabilities can be a costly and time-consuming endeavor.