Introduction to Run-On Strategies

In the ever-evolving landscape of defined benefit (DB) pensions, sponsors and trustees are continually seeking the most effective strategies to manage their schemes efficiently. Among these strategies, "run-on" approaches have gained significant attention as a viable alternative to traditional insurance transfers. A webinar titled "Assessing the benefits of run-on" is set to delve into the intricacies of these strategies, offering a deep dive into their practical applications, key considerations for stakeholders, and the long-term benefits they can provide.

What are Run-On Strategies?

Run-On strategies involve maintaining a DB pension scheme without transitioning to an insurer, focusing on managing and improving the scheme’s assets and liabilities over time. This approach requires careful planning and execution across multiple fronts, including investment, funding, covenant, and governance. It offers flexibility and control over scheme management, allowing sponsors to tailor their strategy to meet specific needs and goals.

Key Benefits of Run-On Strategies

The webinar aims to highlight several key advantages of adopting run-on strategies:

• Flexibility and Control: By keeping the scheme in-house, sponsors can maintain greater control over investment decisions and scheme management. This can be particularly advantageous for companies looking to align pension assets with broader business goals.
• Cost-Effectiveness: In some cases, run-on strategies can avoid significant upfront costs associated with insurance transfers, such as buyout premiums.
• Long-Term Value Creation: Properly managed, run-on strategies can create additional value for members and sponsors alike by leveraging investments and managing liabilities effectively.
• Regulatory Compliance: The webinar will also address the regulatory environment and how to ensure compliance with fiduciary duties and legal requirements.

Practical Considerations and Challenges

Governance and Management

Implementing a successful run-on strategy requires robust governance structures and effective decision-making processes. The webinar will explore:

• Covenant Assessment: Understanding the sponsor's financial health and its impact on the scheme's stability.
• Investment Strategies: How to optimize investment returns while managing risk.
• Funding and Liability Management: Ensuring the scheme remains adequately funded and addressing any deficits.

Best Practices for Trustees and Sponsors

Attendees will learn about best practices that can be applied to enhance the success of run-on strategies, including:

• Collaboration and Communication: Building strong relationships between trustees, sponsors, and other stakeholders to ensure alignment and clear goal-setting.
• Risk Management: Identifying and mitigating potential risks associated with running the scheme.
• Long-Term Planning: Developing comprehensive plans that account for future changes in market conditions or regulatory requirements.

Technology and Innovation

The webinar will also touch on how technology can be leveraged to enhance scheme management. This includes:

• Data Analysis: Using data insights to inform investment decisions and assess scheme performance.
• Digital Tools: Implementing modern platforms for more efficient governance and administration.

Comparison with Alternative Strategies

A crucial aspect of the webinar will be comparing run-on strategies with alternative approaches, such as transferring liabilities to insurers. This comparison will help attendees understand when each strategy might be most appropriate based on their specific circumstances.

Why Attend?

By registering for the webinar "Assessing the benefits of run-on," attendees can gain valuable insights into:

• Practical Implementation: Learning from case studies and real-world examples of successful run-on strategies.
• Expert Panel Discussion: Hearing firsthand from industry experts on best practices and emerging trends.
• Networking Opportunities: Engaging with peers and professionals to share experiences and perspectives.

Registration Details

The webinar is designed for trustees, sponsors, and pension professionals interested in exploring innovative strategies for managing DB schemes. To register, visit Professional Pensions Webinar Registration.

By attending this webinar, participants can enhance their understanding of run-on strategies and improve their ability to navigate the complexities of DB pension scheme management effectively.

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