Is your DB run-on fit for purpose?
Many DB schemes are creating a surplus management problem for themselves Most don't know it yet. As run-on has become a viable option, the industry has responded. Frameworks have been launched. Documents have been produced. Meetings have been held. But look closely at most of them, and you'll find the same thing: A rebadged Journey Plan. The Journey Plan is a powerful tool. But it was built for a different problem - growing a scheme to a strong financial position. Repackagi
DB surplus advice risks destroying 37% of value
Here is how. When a business evaluates any capital project, the rule is simple: discount future cashflows at the company's cost of capital. If the return falls short of that hurdle, the project destroys value - even if it generates cash in absolute terms. That logic is applied rigorously to every factory, every acquisition, every piece of capital equipment a business deploys. It is almost never applied to the pension surplus. Right now, schemes are sitting on substantial sur
Exclusive: Certainty is asymptotic
Background - About SMF™ For Defined Benefit Pension Schemes in Surplus: How Much Surplus Can Be Safely Distributed? Trustees and sponsors of defined benefit pension schemes in surplus face a critical governance question: How much surplus can be safely distributed? The Surplus Management Framework™ (SMF) provides a rigorous, risk-based solution by distinguishing between two key categories: Trapped Surplus This is the surplus that needs to be retained for risk management purp
