Samuel King’s Post

DLA Piper have conducted a survey of major insurers and consultants to get their insight on the health of the bulk annuities market after headlines suggested small pension schemes are struggling to gain a footing. The result of the survey suggests that small schemes aren't being left behind and that the market is open for business no matter the size of the scheme. Andrea Mendham, Partner at K3 Advisory took part in the survey and is quoted on page 12 of the report: “We welcome the entry of new insurers to the market and the improvements that many insurers are making to their small scheme propositions, which we believe will bring more opportunities and more competitive pricing in 2024 and beyond – good news for trustees, sponsors and most importantly members of small schemes.” #DBpensions #bulkannuities #buyin #buyout #K3 https://lnkd.in/entyDhgM

LTAFs remain a controversial topic for pension funds and insurers - The advent of Long-Term Asset Funds (#LTAFs) remained an issue of contention among the participants - and the audience - in the opening panel discussion at the Private Markets Investor | Europe 2024 event in London last week, with the panellists being almost entirely in their favour. However, there was more scepticism from the audience. The discussion, which was titled “The advent of pension innovations – CDCs, LTAFs, and pension consolidators – and insurance solvency reforms: What is the opportunity and outlook for greater investment in illiquid assets, and what are the operational hurdles?”, focused on prospects for reform and new ideas coming down the pipeline. Panellists were Mike Chappell, Co-Head of Private Markets at Phoenix Group, STEPHEN TILEY, Pension Funds Manager and Trustee Director at WHSmith, Bob T. of Credit Risk at Hymans Robertson, and James Monk, Investment Director at Fidelity International, and they conferred over the issue in a lively discussion. Read more at the link below. #investmentoperations #privatemarkets #pensionconsolidation #illiquidassets #insurance #pensionfunds

M&G plc has launched a Value Share Bulk Purchase Annuity proposition by completing a £500 million transaction with a private Corporate Sponsor and its UK Pension Scheme, insuring around 3,200 pensioner and deferred members.

Insurers’ appetite for pension risk transfer deals remains strong, but today’s transactions, featuring more deferred lives, are more complicated than those already completed. Justin Bevan, Caitlynn Greenfield and Stan Roberts explain why in this insights article. #insurance #InsuranceIndustry #WTWPerspective #actuaries https://ow.ly/FNny50SgaXH

The European Insurance and Occupational Pensions Authority (EIOPA) has opened a consultation regarding the criteria based on which national supervisors may request (re)insurers and insurance groups to perform macroprudential analysis in their Own Risk and Solvency Assessments (ORSA) and in their application of the Prudent Person Principle (PPP). The Consultation Paper proposes both quantitative and risk-based criteria to determine which undertakings and groups should consider macroprudential elements in their ORSA and in how they apply the PPP. The quantitative criterion foresees a threshold of €12 billion in total assets, which aligns with the criteria used in identifying undertakings for financial stability reporting. #insurance #solvencyii #sii #ORSA #PPP #consultation https://lnkd.in/eiip724h

Grateful to Ian Smith who continues to follow the pension risk transfer market as competition heats up in the UK and elsewhere. L&G have set targets to write another £50bn by 2028, Aviva have looked to automation in pricing to compete the smaller end of the market and Royal London are jumping in! 🤔 How will pension trustees identify the right partner for them in a more crowded market? 🤔 How will the insurers avoid the competitive pressure leading to poor pricing decisions? 🤔 How will the regulators ensure that good outcomes are seen for all involved? One to watch as this emerging segment of the market continues to evolve! Dave, Joanna, Jiri, Sanjay, Andrew, Franklin. https://lnkd.in/e4f_sQYn

📈💹 Industry article: Key Trends for the DB De-risking Market in 2025 Entering 2025, the Defined Benefit (DB) market is poised for substantial evolution. Scheme funding levels have notably strengthened over the past year, enabling many to approach buy-ins or buy-outs more confidently. The role of insurers remains crucial as they continue to offer solutions that address de-risking objectives, with attractive insurance pricing ensuring that bulk purchase annuities (BPAs) remain the gold standard for many schemes. One of the most significant trends observed in 2024 that is expected to persist into 2025 is the return of jumbo BPA transactions. This year alone, eight transactions exceeding £1 billion have been publicly announced, highlighting the market's capacity to support even the largest UK pension schemes. Such large-scale transactions offer unique opportunities for schemes with agile governance structures, allowing them to navigate an evolving landscape effectively. #DBDeRisking2025 #PensionSchemes #ESG #staractuarial #actuarialjobs #actuaryjobs

Insurers’ appetite for pension risk transfer deals remains strong, but today’s transactions, featuring more deferred lives, are more complicated than those already completed. Justin Bevan, Caitlynn Greenfield and Stan Roberts explain why in this insights article. #insurance #InsuranceIndustry #WTWPerspective #actuaries https://ow.ly/3Epx50SgaXI

📈💹 Industry article: Key Trends for the DB De-risking Market in 2025 Entering 2025, the Defined Benefit (DB) market is poised for substantial evolution. Scheme funding levels have notably strengthened over the past year, enabling many to approach buy-ins or buy-outs more confidently. The role of insurers remains crucial as they continue to offer solutions that address de-risking objectives, with attractive insurance pricing ensuring that bulk purchase annuities (BPAs) remain the gold standard for many schemes. One of the most significant trends observed in 2024 that is expected to persist into 2025 is the return of jumbo BPA transactions. This year alone, eight transactions exceeding £1 billion have been publicly announced, highlighting the market's capacity to support even the largest UK pension schemes. Such large-scale transactions offer unique opportunities for schemes with agile governance structures, allowing them to navigate an evolving landscape effectively. #DBDeRisking2025 #PensionSchemes #ESG #staractuarial #actuarialjobs #actuaryjobs

PRESS RELEASE 📢 K3 Advisory, the pension market’s only specialist independent #bulkannuity and consolidator advisory business, and market leading end-game advisory business to the #fiduciarymanagement market, today announced the launch of a new buy-in to buyout service for bulk annuity transactions specifically designed with small to medium schemes in mind. Read the full #pressrelease here 👉 https://lnkd.in/ernXBWn9 #pensions #investments