Controlling Your Pension Risks

With many company final salary schemes now closed, employers are looking to de-risk their schemes and implement a strategy that will allow them to eventually end their exposure to defined benefit.

These strategies have mainly focused on de-risking the schemes’ assets and liabilities. The difficulty in doing this of course, particularly in the current economic environment, is the significant costs associated with most de-risking solutions.

There is, however, a key area of risk that can have significant financial implications for employers but, by contrast, can be mitigated relatively cheaply – and this is operational risk.

However, cost is not the only reason for mitigating operational risk. The Pensions Regulator requires that pension scheme trustees assess all elements of risk in their schemes. Schemes also have to be properly managed in order to meet the requirements set out by the Pension Regulator’s Code of Practice.

This is not just a trustee issue, though. It is crucial that employers are also aware of and understand the areas of risks – as well as the likely impact of these to all scheme stakeholders.

Using our Risk Management Service we can help you identify and mitigate risk areas. It is only by reviewing every element of a Scheme that these areas of risk become apparent. Once these have been identified, appropriate measures can often be implemented relatively simply.

PTL’s Process – how we support your business

Our approach is to be pragmatic, personable and professional.

Being pragmatic is important. No two situations, no two problems are the same. Our pragmatic approach allows us to find sensible, common sense solutions that meet the need of all parties. A pragmatic approach is also a more cost effective approach.

Being personable is important. We all spend a lot of time working. It makes life more pleasant and work more bearable if our working relationships are friendly, warm, open and constructive. We build teams that will serve each client around that client’s needs and preferences.

Being professional is important and should be a given. The characteristics of professionalism we consider particularly important include being trust worthy, being an expert in our field, working to the highest standards, behaving ethically and fairly, observing clients confidentiality and treating all clients, colleague and others we contact in our work with consideration.

Our approach is to be collegiate, to work as part of a team with our clients and their other advisors. We aim to identify your objectives, establish how to achieve it and execute the resultant strategy.

Our approach is to be creative. The best approach to a matter or solution to a problem is not always the most obvious or established. We encourage our team to innovate externally for our clients and internally for PTL.

Contact

Please contact a member of our team to discuss Controlling Your Pension Risks further on 0118 957 0610 or email info@ptluk.com