Pension risk management remains a principal concern for North American private plan sponsors and nearly one quarter of them are either considering transferring or are very likely to transfer pension risk in 2015, finds a survey.
The Clear Path Analysis survey also finds 80% of private plan sponsors have either a very high or high awareness of the impact longevity risk is having on their pension liabilities. Larger plans have a much higher level of longevity risk awareness than smaller plans.
Fifty percent either partially or fully disagree with the belief that companies are better off delaying the implementation of risk-management solutions to benefit from further improvements in the financial markets.
And 76% of plan sponsors believe the movement in interest rates will impact their decisions to implement a liability driven investment strategy, or to execute a bulk annuity transaction.