DB trustees struggling to strike balance between risk and growth, says Charles Stanley

Survey shows 48% of schemes have higher hedge ratio than funded ratio

Martin Richmond
clock • 2 min read
DB trustees struggling to strike balance between risk and growth, says Charles Stanley

Nearly half of defined benefit (DB) scheme trustees are hesitant to take on interest rate risk due to a higher hedge ratio than funded ratio, research from Charles Stanley Fiduciary Management shows.

The survey of 71 professional DB trustees, whose schemes have average assets under management (AUM) of £1.38bn, found 48% had a higher hedge ratio than funded ratio. The survey's findings indicated...

To continue reading this article...

Join Professional Pensions

Become a Professional Pensions Lite Member today

  • Three complimentary articles per month covering the latest real-time news, analysis and opinion from the industry
  • Receive important and breaking news stories via our two daily news alerts
  • Hear from industry experts and other forward-thinking leaders

Join now

 

Already a Professional Pensions
member?

Login

More on Defined Benefit

DB transfer values drop to lowest month-end since 2018, XPS finds

DB transfer values drop to lowest month-end since 2018, XPS finds

Consultancy says its Transfer Value Index saw ‘significant decline’ in final quarter of 2024

Holly Roach
clock 23 January 2025 • 2 min read
LGPS funding level hits record 125% in Q4 2024

LGPS funding level hits record 125% in Q4 2024

Isio’s Low Risk Funding Index measures end of year surplus at £85bn with assets exceeding £415bn

Jasmine Urquhart
clock 15 January 2025 • 2 min read
Just Group records 36% increase in retirement income sales in 2024

Just Group records 36% increase in retirement income sales in 2024

Insurer says it completed a record 129 de-risking transactions throughout the year

Martin Richmond
clock 15 January 2025 • 2 min read
Trustpilot