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Contingent Funding
Handbook: Emerging trends and market practice

Publications

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Protecting members’ benefits while enabling businesses to grow.  

Contingent funding solutions for DB pension schemes can be a great way to protect member benefits as well as other stakeholders of the sponsoring employer. It is therefore very important for both sponsors and trustees to understand the range of options available.  

This report highlights how these arrangements are rapidly moving from niche to mainstream due to a raft of regulatory and economic drivers.  

Explore the interactive report

What's inside? 

  • Why contingent funding is such a growing area
  • What sponsors and trustees are currently doing including trends and case studies illustrating a wide range of different situations
  • A three step Q&A to identify what approach might best align with your objectives and constraints
  • The “basics” of the most common contingent mechanisms
  • A spotlight on Streamlined Escrow - helping sponsors and trustees get the most out of escrows in the most time-efficient and cost-effective way.

“Trustees can get the assurances they need about future funding of the scheme while sponsors are able to concentrate their available resources on making sure the business is still there in the future. This is an approach whose time has come”.

Phil Cuddeford, Partner and co-author of this report

 

How we can help

Contingent funding approaches are rapidly becoming more widespread. They can be a great way to protect member benefits as well as the shareholders and other creditors of the sponsoring employer.

We help sponsors of pension schemes understand and manage the costs and risks associated with supporting their current and legacy pension schemes as well as other employee benefits.

We help trustees understand and monitor the employer covenant.

Whether to enter a DB Consolidator is a complex decision. Sponsors and Trustees must be sure it is the right decision for their scheme and its members. We can help.

We help pension scheme trustees and sponsors to determine the ultimate destination for their scheme and help them put together a plan to get there, including how to effectively manage the risks they face along the way.

We help trustees achieve their strategic goals, with solution-led, appropriate advice.

Shifting sands 2020 - for corporate sponsors

Shifting sands 2020 - for corporate sponsors

Thought leadership report

Exploring four key areas - managing corporate pensions in the current environment; how sponsors can take the initiative on investment; hot topics; and preparing for the year-end.

Explore our findings