PP Risk Reduction Forum

Jonathan Stapleton looks at the implications for asset allocation

A liability-focused approach is the only way for schemes to manage risk effectively, BlackRock managing director John Dewey says.

Trustees must be prepared to take advantage of de-risking opportunities when they arise, delegates heard.

Rising longevity still poses a risk despite some schemes having their fingers burnt at successive valuations, Club Vita warns.

De-risking solutions for smaller schemes should be targeted at individual members and be proportionate to the size of the scheme to limit sponsor costs, delegates heard.

Defined benefit schemes should transfer into the information disclosure regime to make members more aware of their options at retirement, consultants say.

Schemes need to find an "optimal solution" to hedge longevity risk to keep some risk in their portfolios, delegates heard.