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JULY 2020
Pension Clicks
In this edition of Pension Clicks, we summarise The Pensions Regulator’s latest COVID-19 guidance for pension schemes and new guidance on commercial consolidators, while our article explores commercial consolidation in more detail.
ITG note: TPR updates COVID-19 guidance
Introduction
The Pensions Regulator has re-written its COVID-19 guidance for DB trustees, setting out the practical challenges faced by trustees and employers, and detailing the regulator’s expectation that due diligence be undertaken for new deficit contribution suspensions. It has also confirmed that most of the reporting easements that have applied during the coronavirus crisis cease at the end of June.
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ITG note: TPR issues DB commercial consolidator guidance
INTRODUCTION
The Regulator has also issued guidance on the standards it expects from DB commercial consolidators (or ‘superfunds’). The guidance aims to ensure that member benefits are protected against funding, personnel and governance risks.
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Sizing up commercial consolidators as a settlement option
INTRODUCTION
John Baines looks at the ‘middle ground’ option of commercial consolidation in this article, first published in Professional Pensions.
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Risk Settlement Bulletin
INTRODUCTION
Our Q3 bulletin looks at the impact of recent market volatility and a potential 'new normal' for risk settlement transactions, including more opportunities for smaller schemes. In addition we consider the Regulator's recently published guidance for DB superfunds, and commercial consolidation as an alternative risk transfer option.
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2020 Member Options Guide
INTRODUCTION
This year’s guide looks at how trustees are supporting members in their decision making at retirement; the latest on bulk member options exercises; how schemes are using member options exercises to bridge the gap to buyout; trends in relation to partial transfer options; and investment considerations when carrying out member options exercises.
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Thirty years since Barber: Slow progress on GMPs
INTRODUCTION
Tom Yorath tracks the progress of GMP equalisation alongside the history of computing and looks at what pension schemes are doing to achieve equalisation. First published in Professional Pensions.
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Aon investment expert speaks on CNBC about outlook for rest of 2020
introduction
Markets have ‘extreme’ expectations for economic recovery, says Tapan Datta, head of global asset allocation at Aon. Watch the CNBC interview where Tapan shares his outlook for the second half of 2020.
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The Aon Factor Service
introduction
We have designed and launched a multi-factor equity solution based on detailed research, reflecting our best ideas and beliefs. The solution offers potential for long-term return enhancement and risk reduction at low cost and in a low governance framework. Our new brochure has more details.
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How has Aon's pension administration responded to COVID-19?
introduction
We remain proud of how our pensions administration colleagues, and operating model, have delivered an uninterrupted service to our clients and their members in these challenging times. This (pre-pandemic) video showcases our delivery model – which continues to operate ‘business as usual’, 100% from home.
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Retirement podcast – Focusing on negative interest rates
introduction
Key pension news from the last month summarised by Ricky Marsh.

This month Ricky is joined by Joanna Sharples and Tom Spence to discuss the possibility of negative interest rates, and what this might mean for both DC and DB schemes.
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Week in Markets
introduction
A summary of market movements over the past week.
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Aon in the press
We advise Unomedical on its £10m buyout with Aviva and caution pension schemes against over-reaction to high short-term UK mortality data. Meanwhile, we see growing interest in bridging pensions and in combining GMP conversion and Pension Increase Exchange. We make Well One Money, our integrated pension and financial management tool, available to our own pension scheme members.
Dates for your diary

2020 Pensions training
To mitigate the risk and further spread of COVID-19, Aon has taken the decision to modify some of our courses to webinars – sign up here to reserve your place or contact pensionstraining.enquiries@aon.com to find out more.

2-8 July
DC & Financial Wellbeing Virtual Conference
There is still time to register for the remaining sessions. You can also access replays of sessions that have already taken place. To view the full agenda click here.

Also on our website
Climate Change: Rising to the Challenge
The expectations of pension schemes around climate change are mounting – driven by regulation as well as ethical imperatives. Disclosure, transparency and accountability are top of the list; and, not far behind, the opportunity to ‘Build Back Better’ is growing. Together with the economic fallout of the coronavirus pandemic, trustees will need to carefully navigate an increasingly complex and demanding set of investment considerations. Aon’s experts discussed all in a recent webinar. Listen again and download the presentation slides.

Virtual conference: Sizing up your risk settlement options
On 17 June our Risk Settlement team hosted a digital conference discussing pension scheme de-risking, with sessions focusing on all scheme sizes. Now you can view all 20 videos from the conference, which includes case studies from three Aon clients who have recently completed a de-risking transaction.

Investment Focus – Understanding the Bigger Picture
Discussing latest scenarios for potential recovery; the longer-term impact for investment strategies, and the hidden traps investors might face.

Investment Focus – Navigating Uncharted Territory
Listen to William Parry and specialists from our asset allocation and delegated investment teams discussing how our investment performance and operational resilience planning has held up over these challenging times.

DC Pensions: The Next Steps
Hear Aon’s DC experts exploring the impact of recent market volatility on DC schemes, and addressing scheme communications, employee wellbeing and governance challenges.

Member Options: How to Protect & Support your Pension Scheme Members
Aon's Member Options and Administration specialists were joined by a leading IFA firm to explore how pension schemes can support and protect members during the coronavirus crisis.

Pension Conference webinars 2020
Our 2020 Pension Conferences were converted to a series of topical webinars – listen to them here.

To hear recordings from more of our recent webinars, see the ‘recent webinar recordings’ link on this page.

Online monitoring tool for your scheme
Our Risk Analyzer tool is now used by over 900 schemes to monitor various financial and risk measures. This video gives you an example of how Risk Analyzer could help you.
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