JLT Employee Benefits has completed a buy-in contract with Prudential for its defined benefit (DB) pension scheme.
The JLT UK Group Pension Scheme, which has liabilities of £120 million, has purchased an annuity to secure future benefit payments, reducing the volatility of the scheme’s projected funding requirements.
The scheme has around 4,000 members and was closed to future accrual in 2006.
Martyn Phillips, head of buy-outs at JLT Employee Benefits, said: “Working with Prudential and taking advantage of market opportunities delivered a transaction that meets the sponsor’s financial criteria.
Mike Reynolds, group finance director at Jardine Lloyd Thompson Group, added: “We are very pleased with the outcome of this transaction.
“The Trustees of the JLT UK Group Pension Scheme have worked closely with our employee benefits business and Prudential to create this solution as part of JLT’s long-term plan to pro-actively manage its balance sheet.”
Aki Hussain, chief financial officer at Prudential UK and Europe, said: “This buy-in is part of a growing trend among pension schemes.”