Huw Evans from the Institute and Faculty of Actuaries comments on today's statement from the Pensions Regulator regarding funding in the current environment for defined benefit pension schemes27 April 2012
"The statement makes it clear that the scheme funding regime has the flexibility to remain fit for purpose even in extreme conditions, and that trustees and employers should look for evidence based solutions to address the risks that they face.
“On 10 April 2012 the Institute and Faculty of Actuaries hosted an event to discuss the impact of low bond yields on pension schemes at which it was concluded that it was important that actuaries should illustrate the impact of a broad range of future yield scenarios to their clients. We are pleased that the Regulator also believes that schemes should undertake such contingency planning”.
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