Defaulting to buyout could cost schemes a quarter of their value

Van Lanschot Kempen recommends scheme run-on as it launches de-risking alternative

Jasmine Urquhart
clock • 2 min read
Van Lanschot Kempen says a £1bn scheme could lose £250m by defaulting to an insurance buyout
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Van Lanschot Kempen says a £1bn scheme could lose £250m by defaulting to an insurance buyout

Defined benefit (DB) schemes could lose up to a quarter of their value by defaulting to an insurance buyout, analysis from Van Lanschot Kempen has found.

Over the next decade, a £1bn DB scheme could lose up to £250m in value by exiting to an insurance buyout, including an estimated £50m in missed returns over the same period, according to the analys...

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