streamlined buy-out

Case studies

How we helped the Visiocorp UK Limited Pension Scheme complete a £20m full buy-out in rapid timescale

A key challenge for companies and trustees running a buy-out exercise is achieving competitive pricing and commercial terms for smaller transactions with certainty on costs. In the case study we demonstrate how our streamlined service help the Visiocorp UK Limited Pension Scheme acheive their objectives. 

The background

  • £20m pension plan
  • Put in place a buy-out target and aligned assets to pricing
  • We highlighted that buy-out was potentially affordable within contributions committed under the recovery plan
  • In August 2014 the Trustees decided to use our streamlined service to execute a full buy-out by the year-end

Our solution

The Trustees wrote to members to collect marital status information, which helped them price more accurately and competitively.

Streamlined process
Our streamlined process ensured three key meeting dates and milestones were agreed up-front, providing certainty to insurers. The resulting favourable engagement led to competitive pricing that achieved full buy-out within existing contribution commitments.

Price was locked to the plan’s assets, to provide certainty that objectives would still be met at signing.

The results

The Trustees completed the £20m buy-out transaction within three months, benefiting from fixed costs. Through the streamlined process they achieved strong insurer engagement for the transaction size seizing attractive pricing available in the run up to the year end.

LCP’s streamlined service provided a robust process within tight timescales and fixed fees that maximised insurer engagement and competitive pricing achieved.

Jacqueline Woods - Chairman of Trustee Board, Visiocorp UK Limited Pension Scheme

Learn more about our streamlined services for buy-ins and buy-outs

How we can help

We are market leaders at each stage of de-risking, including planning, investment strategy, transactional services and wind up.

We support trustees and employers through the complex process of winding up a scheme.

We help you identify and implement strategies that will help you achieve your objectives

We help you get your investment strategy right to ensure good member outcomes in your DB and DC schemes.