Research

Ensuring a smooth de-risking journey

De-risking report 2018

January 22, 2018
| United Kingdom

Welcome to Willis Towers Watson's 2018 de-risking report, looking at the key themes in the longevity hedging and bulk annuity market over the next year. In this report, our experts look back at activity in the market during 2017 and give an overview of what they consider to be the key themes for 2018 in order to help schemes ensure a smooth de-risking journey on a potentially bumpy road ahead.

2017 was a busy year in the bulk annuity and longevity hedging market, with volumes exceeding those of 2016 and in particular, the level of longevity swaps was higher than seen over the last few years. In the report our experts share:

  • Some of the tactics we used in 2017 to help schemes get the best possible value in a busy bulk annuity market
  • How well-timed actions across assets and liabilities could make buyout more affordable than you think
  • A comparison of the two main end-game options for pension schemes – in-scheme run-off vs buyout with an insurer
  • The considerations for schemes when deciding whether a buy-in should be collateralised

We would welcome the chance to discuss further with you how you can take advantage of the opportunities in this market for your scheme, and ensure your scheme's de-risking journey is as smooth as possible.