News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

Pensions

Navigating a new course for longevity risk

Pension scheme hedges £1.5bn of risk with innovative straight-to-reinsurance structure

Getty Images
Getty Images

The Merchant Navy Officers Pension Fund is not unaccustomed to charting new waters, and its recent deal with reinsurer Pacific Life Re has established a new trade route for longevity risk swaps.

The MNOPF is the first to use an innovative new structure that significantly reduces the cost of hedging longevity risk, and allows the pension scheme to take advantage of the best possible reinsurer pricing.

WSJ Logo