Deal of the year - Babcock International

Longevity swaps have been talked about as a solution to pension schemes’ longevity risk management challenges for some years. But this year Babcock International turned theory into practice when it became the first fund to complete a deal. Andrew sheen reports

Increasingly, many large enterprises with decades’ worth of accumulated pension liabilities are starting to look like a pension scheme with a company attached on the side. While de-risking and shedding pension liabilities has risen up on the corporate agenda because of this, the range of options open to companies has, so far, remained limited. And although buy-ins and buy-outs are well understood