Deriving a loss index for defined benefit transfers
In this note we look at a simplified approach to constructing a “Loss Index”. This may be a useful measure in looking at the historical movement of losses (expressed in…
Analytics
PS22/13: Implementation results
PS22/13: Implementation results The FCA have updated the rules in the policy statement PS22/13 around the determination of redress for non-compliant pension transfer advice. There are changes in the methodology,…
FCA FG17/9 Update
https://www.fca.org.uk/news/statements/confirm-periodic-review-pension-transfers-redress-guidance There is an update from the FCA (see link above) – they have updated the “Allowing for ongoing product charges and ongoing adviser charges” section That is not…
CP22/15: Assumptions and methodology analysis
CP22/15: Assumptions and methodology analysisIn their recent consultation CP22/15, the FCA has proposed changes in methodology to determine redress for non-compliant pension transfer advice, as detailed in this note. Pre-retirement interest…
CP22/15: FCA pension transfer redress consultation
The FCA released CP22/15: pension transfer redress consultation on 2 August 2022. This is the (overdue) four-year review of the pension redress methodology FG17/9. The FCA propose to retain the fundamental…
Higher discount rates = lower compensation?
Higher discount rates = lower compensation? Long term interest rates have, in recent months, increased significantly. The 15-year, 5 year forward gilt rate from the start of 2022 until the end…
Congruent Calculations™ – British Steel Pension Scheme redress templates
In the FCA consultation paper on the redress scheme for former members of the British Steel Pension Scheme is a table of the comparison of benefits between BSPS2 (the new…
BSPS Consumer Redress Scheme – Asset Restriction Rules
Asset Restriction Rules New rules come into force for affected firms from 00.01 am on 27 April 2022. These rules impact firms that advised members of BSPS during 26 May…
FCA RPI-CPI new adjustments
CPI adjustments used for pension redress calculations RPI will be aligned with CPI (or strictly speaking with CPIH) from 2030. The long-range forecasts that we use price this in and the…
S404 Redress Scheme
FCA has announced a consultation on a redress scheme for former members of the British Steel Pension Scheme (“BSPS”) who were give unsuitable advice. The FCA believe the unsuitable advice…