TRW pension fund breaks buyout record with £2.5bn L&G deal

first_imgThe TRW Pension Scheme has transferred £2.5bn (€3.1bn) in liabilities to Legal General (L&G) in an uncommon partial-buyout arrangement that breaks the UK record for a single transaction.The scheme, sponsored by service provider to the automotive industry TRW Automotive, transferred around 78% of its liabilities in the all-pensioner buyout.The £3.5bn scheme has around 46,000 members, transferring the plans of 22,000 pensioners to the insurer and retaining £1bn of liabilities, mainly deferred members.Neil Marchuk, chair of the trustee board, said the deal was a material de-risking process providing security to the insured members. Joseph Cantle, CFO at TRW Automotive, said the partial buyout significantly improved the company’s balance sheet, transferring the liabilities to L&G.A partial buyout is where pension schemes transfer liabilities in their entirety to an insurer but do not wind down. A buy-in is the exchange of liabilities for an insurance contract against future payments held as an asset by the scheme.The scheme and its advisers had been working towards the deal for some time, running other risk-reduction exercises such as pension increase exchanges (PIEs) and enhanced transfer values (ETVs).Insurance quotes remained in the scheme’s favour given the deal’s record size and the intensely competitive bulk annuity market – particularly since the Budget reforms in March.James Mullins, partner at consultancy Hymans Robertson and adviser to the scheme, said its complex investment hedging had been beneficial in securing the timing and pricing of the deal.The PIE exercise, accepted by just under 40% of members, had made quoting simpler for L&G, as the scheme indexed using the consumer prices index (CPI), a notoriously difficult index to hedge.A PIE exercise sees the member accept an inflated initial pension payment in exchange for the waiving of annual index increases.“This deal could be the catalyst for partial-buyout,” Mullins said. “This scheme was not exceptionally funded, so a buyout looked a long-way off. But the series of steps undertaken meant they have been able to partially buy out two-thirds of the scheme.”The deal represents L&G’s second record-breaking deal of the year, after it insured £3bn of liabilities in a buy-in with the ICI Pension Fund.Managing director of L&G Retirement Kerrigan Procter said: “We have worked with the scheme over many years as they moved from index funds to liability-driven investment, and now to buyout with L&G.”The insurer has now dominated 2014, writing more than £8.3bn in bulk annuities, more than the entire 2013 market.The 2014 market is now expected to break the £11bn mark, with consultancies reporting hundreds of millions worth of transactions before year-end.Mercer’s David Ellis, lead adviser to the pension scheme on selecting L&G, said while it would be pleased with its 2014 performance, other insurers would not be feeling the pinch.“The year before, Pension Insurance Corporation (PIC) did very well, and Rothesay Life bought MetLife, which was a multi-billion deal as far as it is concerned,” he said.Mullins added: “Next year will be great as well, with L&G and Prudential and others even more keen to transact to make up for falling individual annuities sales – which is great for competitive pricing.”Bulk annuity pricing power is expected to “see-saw” between insurers and pension schemes as a variety of market and competition factors take hold, according to consultancy LCP.last_img read more

Professor coined term inclusion rider

first_imgOscar winner Frances McDormand finished her acceptance speech for Best Actress in a Leading Role at Sunday’s Academy Awards by saying, “I would like to leave you with two words: inclusion rider.” The phrase “inclusion rider” was coined by Stacy Smith, director of the Annenberg Inclusion Initiative for the USC Annenberg School for Communication and Journalism. Smith created the term in 2014 after writing a guest column in The Hollywood Reporter about issues of inclusion in Hollywood. The term describes a demand actors and actresses can add to their contracts to ensure diversity among cast and crew.In an interview broadcasted by Annenberg Monday on Facebook Live, Smith told Annenberg Dean Willow Bay that the term inclusion rider was a “step toward countering bias in the interviewing or casting process.”In the interview, Smith said that when McDormand asked all the female nominees in the room to stand, she was surprised with the small number of women in the room. Inclusion rider is a term created years ago, which has experienced increased popularity  as a result of the Time’s Up movement, she said.Smith has conducted years of research on various topics relating to representation in Hollywood, such as patterns of screen representation, behind-the-camera employment and barriers facing women and underrepresented minorities in the media. In her research, she offers the inclusion rider as a solution to counter inequality in Hollywood and the media.A typical inclusion rider sets numerical goals for casting in entertainment to ensure the “world onscreen looks like the world in which we live,” Smith told The New York Times. “If 40 percent of the country is filled with individuals from underrepresented racial groups, 20 percent of the country is filled with individuals with disabilities, there is no reason why these individuals aren’t reflected in stories,” Smith told Bay in the interview.last_img read more

WWE Raw 2019: Braun Strowman v Seth Rollins; Sasha Banks v Becky Lynch

first_img WE RECOMMEND First Published: 11th September, 2019 15:06 IST Shreshtha Chaudhury 1 year ago Ric Flair-less, loses followers after crossing Becky Lynch’s path WATCH US LIVE Last Updated: 11th September, 2019 20:02 IST WWE Raw 2019: Braun Strowman V Seth Rollins; Sasha Banks V Becky Lynch WWE Raw 2019 will see some high octane action which will smash all the ratings. Braun Strowman and Seth Rollins will face each other in the anticipated match. LIVE TV FOLLOW US 1 year ago Ric Flair gets a befitting reply from Becky Lynch over trademark claim 11 months ago WWE RAW: Rey Mysterio vs Gran Metalik Match Overview Written By SUBSCRIBE TO US Also Read: Seth Rollins Slays ‘The Beast’ Again, Fans Jubilant As He Wins His Second WWE Universal ChampionshipThings To Get Heated Up Between Sasha Banks and Becky LynchThe breaking point between these two is expected to fetch the maximum ratings in the tournament. Sasha made Lynch her prime target, setting the pace for the whole showdown. But we can surely trust these two female champions to level up the game, this season. Like them, it is Charlotte Flair and Bayley. Fans are eager to see what will be the outcome of this clash between these two Race champions. Then there will also be a much-anticipated encounter between Eric Rowan and Roman Reigns at the WWE Raw 2019. There was a nasty scuffle between the two at the final Smackdown where Eric chose a piece of camera equipment to hit Roman. Despite all this, excitement is in the air for the WWE Raw 2019 this year.Also Read: John Cena Has A Special Message For The WWE Family Ahead Of Summerslam 2019. Here’s What He Said The fans of the WWE Clash Of Champions surely missed the highly anticipated event last year. But this year, again it is back with a bang with the hysteria increasing rapidly. The latest tournament will witness the clash between the mightiest of the champions and one of them will be crowned as the King of the Ring tournament victor. This event will take place for the first time in four years. The WWE ratings are expected to topple the charts. The match will start airing at the WWE network from 7 pm.Also Read: WWE RAW: Rey Mysterio Vs Gran Metalik Match OverviewWWE Raw 2019: The Latest Showdown Is All Set To Raise The Frenzy Amongst The FansAlso Read: Batista Snubbed: WWE Leaves Him Out Of Smackdown Tribute VideoThe Clash Between Braun Strowman and Seth RollinsThe match will see the two Raw tag team champions clashing on the ring. All eyes are on Braun Strowman who has been eyeing this title for a long time. It will be interesting to see who emerges victorious in the match. Another part of the match which all are excited about the clash between Randy Orton and Kofi Kingston. The two champions have been each other’s arch-nemesis since the Summer Slam. The two have been on their best forms whenever they faced each earlier in the earlier matches. Now, they both are all geared up for their showdown at the Clash of the Champions. COMMENT 1 year ago Batista snubbed: WWE leaves him out of Smackdown tribute video 1 year ago CM Punk recalls John Cena rivalry, says ‘enjoyed working with him’last_img read more