Actuarial insights: are gilts the smart choice for pension schemes? | Practical Law

Actuarial insights: are gilts the smart choice for pension schemes? | Practical Law

In this month's column, Peter McDonald considers whether gilts are still fit for purpose as an investment for pension schemes. While gilts are attractive for pension schemes seeking to match their liabilities and protect against interest rate and inflation changes, recent factors have forced yields to all time lows. Is it time to consider whether gilt holdings can be put to better use?

Actuarial insights: are gilts the smart choice for pension schemes?

Practical Law UK Articles 3-521-3896 (Approx. 4 pages)

Actuarial insights: are gilts the smart choice for pension schemes?

by Peter McDonald, Partner and chief actuary, PricewaterhouseCoopers
Published on 13 Sep 2012United Kingdom
In this month's column, Peter McDonald considers whether gilts are still fit for purpose as an investment for pension schemes. While gilts are attractive for pension schemes seeking to match their liabilities and protect against interest rate and inflation changes, recent factors have forced yields to all time lows. Is it time to consider whether gilt holdings can be put to better use?