UK companies face bigger cash calls from pension funds after LDI crunch | Financial Times


Josephine Cumbo YESTERDAY

Hundreds of UK companies could face demands for larger cash injections from their retirement schemes after cracks formed in pension funds’ hedging strategies during last month’s crisis in the country’s debt markets.

Source: UK companies face bigger cash calls from pension funds after LDI crunch | Financial Times

 

Northern Comment Editor –  So this is what is happening to pension funds. The LDI hedging strategy, which seems to have worked for a couple of decades is starting to look insufficient. If it does lead to more cash calls on companies to fund liability gaps that means less money for investment. Undermining  “growth, growth, GROWTH”.

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