International Groups : UK Subsidiaries
Pensioning Off UK Industries
There is a solution
The answer is for the Group to ‘get stuck in’ and provide a structure under which it, its subsidiaries and members of the scheme are all properly protected.
This is achieved by the Group agreeing to keep in place guarantees from financial institutions which diversify any risk to the scheme. They cover the gap between the assets held today and the amount needed for the scheme to be self-financing. The agreed guaranteed framework remains in place until that is achieved.
In exchange, the scheme maintains an investment strategy which has less derisking and requires lower cash contributions.
All stakeholders benefit
For more information contact:
Chief Executive C-Suite Pension Strategies
Former CEO Aga Rangemaster
Former Partner and Actuary with KPMG
Former DB Risk Leader at Mercer