The Pension Risk Transfer Market at $260 Billion

Prudential's latest thought leadership examines trends in the rapidly accelerating global pension risk transfer market

The international pension risk transfer marketplace is experiencing remarkable growth, with more than $260 billion in transactions completed since 2007. In the United Kingdom, United States and Canada, hundreds of companies have transferred pension risk to insurers and reinsurers, with at least 40 pension funds executing transactions over $1 billion. Each of these transactions fulfills and secures the lifetime benefit promise to plan participants, while achieving significant corporate finance benefits for the plan sponsor.

Today, pension risk transfer is:

  • Increasingly global
  • Employed by corporations of all sizes and industries
  • Flexible and customizable
  • Aimed at achieving a lower risk future

 

PRT Market at $260 billion cover

 

 

This article first appeared in the 2015 Institutional Investor Journals' Guide to Pension and Longevity Risk Transfer for Institutional Investors.