Buy ins
15 January 2020
From our initial appointment in 2008 we worked with our client to maximise their governance framework and facilitate the successful completion of a Buy-in for all defined member benefits in March 2020.
When appointed the Scheme had seen a significant drop in their funding position post the 2008 financial crisis.
The sponsor was also facing financial constraints and unable to contribute significant recovery contributions to plug the gap.
We provided a cost-effective solution for outsourcing the secretariat and pension manager role at a time when budgets were constrained.
It helped build a strong governance framework to monitor the long-term funding plan and ensure effective communication between all parties at every stage of the journey.
It monitored and cross checked all the Scheme’s expenses to ensure they remained in budget.
It ensured compliance from a regulatory viewpoint and supported the members’ experience.
It helped organise the tender for the buy-in advisor and supported the negotiations with Aviva, the buy-in provider.
It consulted effectively with the sponsor throughout the whole journey, ensuring that it was involved every step of the way and that the plans were understood and affordable.
The result
Against the backdrop of COVID-19 and extreme market turbulence, the deal was completed on the 16 March 2020, two years ahead of schedule and with enough money to cover all subsequent wind-up costs and outstanding GMP equalisation projects.
