All gilts articles
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AnalysisAnalysis: Greenwashing risk in sovereign green bonds
‘The political cycle drives much higher volatility for sovereign green bonds than corporate ones when it comes to climate credibility,’ says Ulf Erlandsson
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NewsBank of England calls on pensions industry for financial stability responsibility
‘Central banks cannot be a substitute for the primary obligation of LDI funds to manage their own risk,’ says BoE
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Country ReportUK: to barbell or not to barbell?
In the new world of lower LDI leverage, trustees must choose between maintaining hedging or diversification
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NewsBanking sector crisis increases UK scheme deficits in March, says Broadstone
Fully hedged schemes outperform half-hedged schemes for the first time since interest rates started to rise significantly last year
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NewsUK pensions industry calls for delay of DB Funding Code implementation
Critics of the proposed regulations argued that the new legal framework would be overly rigid
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NewsGlobal pension assets down 16.7% in 2022
UK pension funds suffered the greatest losses due to their forced selling of Gilts during the liquidity crisis last autumn
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NewsUK trustees urged to actively consider impact of Gilts crisis
XPS launched an LDI Oversight Service to help trustees review their LDI arrangements
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FeaturesAhead of the curve: Time to automate collateral management
The resilience of financial markets has been tested several times in recent years, from the so-called ‘dash for cash’ at the start of the coronavirus pandemic in March 2020 to the spike in UK Gilt yields in September 2022.
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Opinion PiecesViewpoint: Gilts crisis won’t undermine attractions of private markets for long-term investors
Many of the government’s ambitions to reboot growth in the UK economy require solutions which private assets are well equipped and prepared to provide in a timely manner
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NewsFiduciary managers face challenges as growth slows and AUM falls
Total fiduciary management AUM decreased 5% to £218bn in 2022, largely as result of a rise in yields driving declines in Gilts and LDI portfolios
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FeaturesUK fiduciary managers wrangle with LDI fallout
UK Gilt yields rose throughout 2022, even before September’s well-publicised spike caused by the unfunded mini budget. Fears of global inflation, exacerbated by the energy crisis and geopolitical uncertainty following Russia’s invasion of Ukraine, took UK 10-year yields from around 1% in January to 3% in mid-September.
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NewsUK roundup: Cobham scheme completes £530m buy-in
Plus: DB deficits could be a thing of the past; £1.3trn wiped off value of UK bonds since start of 2022
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NewsUK pensions committee launches inquiry into DB schemes with LDI
Inquiry will focus on impact of recent volatility in Gilt yields on DB schemes with LDI strategies and their regulation and governance
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NewsUK pensions industry to keep vigilant despite stable bond yields following ‘mini budget’ u-turn
The near-term technical picture is not a positive one, says Hymans Robertson
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NewsDanish PFs: UK LDI fright shows need for stress tests, central clearing rethink
Sampension, PFA CIOs say UK-style crisis less likely in Denmark because of larger, more liquid euro market
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NewsDB pension schemes ‘are not at risk of collapse’, says TPR
Regulator’s CEO says ‘it is absolutely clear that there have been liquidity issues in some of the funds’
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NewsPPF’s 7800 index October update shows increase in aggregate surplus
An improved funding position has made insurance more affordable, opening up new opportunities for schemes to pursue derisking activity, says Standard Life
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NewsBank of England keeps tight grip on Gilts market
The purpose of these operations is to enable LDI funds to address risks to their resilience from volatility in the long-dated Gilt market
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NewsBank of England launches additional measures to help LDI market
LDI will continue to play a role in pension fund strategies despite market turmoil
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AnalysisAnalysis: Goodbye, LDI? Too early to say
The sudden and unprecedented rise in Gilt yields, caused by the UK government massive fiscal stimulus announcement, tested the risk management strategies of UK DB schemes
