Technology & analytics
Helping trustees and pension scheme sponsors better manage climate risks and opportunities
As climate change poses an increasingly significant challenge for defined benefit pension scheme sponsors, it is critical to understand and manage the risks and opportunities that arise from this rapidly evolving landscape. This can be complex, but that's where LCP Beacon comes in.
LCP Beacon is an intuitive tool that helps pension scheme stakeholders better understand and engage with climate risks and opportunities, providing clear actions that are tailored to their unique circumstances.
It is divided into two:
- LCP Beacon - this provides a valuable learning resource for understanding the different types of climate risks and opportunities, the factors trustees should be considering, and access to a series of questions you can ask your sponsor to better understand its sustainability strategy. You can access this here.
- LCP Beacon interactive – Accessible though a demo which you can either arrange here or with one of our team listed below. After guiding you through a series of questions about your scheme, your sponsor's climate strategy and an industry climate risk assessment, the tool will give you a list of actions tailored to your unique circumstances.
The tools work together to support trustees and sponsors to integrate climate risks and opportunities into their assessment of covenant strength, improving their journey planning and the management of climate risk.
LCP Beacon can help you achieve
- Discover the different types of climate risks and opportunities and how they may impact upon the company’s financial performance and position
- Understand the effectiveness of the corporate sustainability strategy and identify areas for improvement
- Determine the level of climate risk that may apply to the company’s industry
- Work out how to identify assess and manage the key climate risks for your pension scheme
- See example questions on strategy, climate risk management and emission levels that trustees can use to engage with your sponsor
- Focus your resources on actions that are relevant to your scheme's unique characteristics
This short video shows you what this looks like:
By gaining a deeper understanding of climate risks and opportunities, pension schemes will be better equipped to withstand the challenges posed by climate change.
Ready to get started with LCP Beacon?
You can access LCP Beacon here. After you’ve had a look, contact us to use LCP Beacon interactive. Going through these stages together with us on LCP Beacon interactive will equip you with actionable insights giving you control of the growing risks and opportunities brought about by climate change.
How we can help
We provide individual and high quality actuarial advice, taking a collaborative approach between trustees, employer and advisers, to ensure a focus on good member outcomes.
We are market leaders at each stage of de-risking, including planning, investment strategy, transactional services and wind up.
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.
We help clients identify, manage and monitor pensions risks in an integrated way.