From IDS Pensions Bulletin 204, April 2007

Company news

• WS Atkins closes DB section to future accrual
• Rolls-Royce gives members personal guarantees
• BPB reorganisation leads to irrevocable guarantee for the pension scheme

Regulatory round-up

• Judicial review into pension losses

The review of public service pensions nears completion

Since 2004 the benefits being provided by most public service pension schemes have been under review. This has resulted in many schemes being closed to new members and new schemes being proposed for new entrants. Over the last year a number of these new arrangements have been finalised, and it is expected that the remaining proposals will be finalised during 2007, following discussion and negotiation with the unions.

Measuring the risk profile of DB schemes

At the end of 2006 the Pensions Regulator and the Pension Protection Fund published the first edition of The purple book: DB pensions universe risk profile, which focuses on the risks faced by defined benefits schemes. Its key aim is to increase knowledge and understanding of DB schemes and it focuses on the risks of scheme members not receiving promised benefits.

Comment

Daniel Hall, senior product analyst at Mellon Analytical Solutions, looks at the changing face of pension fund investment.