Schroders Solutions client secures £114m buy-in

23 February 2024

Schroders publishes on its website:

Vector Pension Scheme, a Schroders Solutions client, has secured a £114 million bulk annuity buy-in with Standard Life, securing the benefits for its 1,800 scheme members.

Schroders Solutions, the £212.1 billion global capability, has a long-standing relationship with the trustees of Vector Pension Scheme, a valued Fiduciary Management client, for over 15 years.

This collaboration, coupled with robust strategic advice and swift implementation enabled the team to manage the journey to buyout with minimal contributions from the sponsor, delivering the scheme to end-game. By using Schroders Solutions in-house segregated LDI the team were able to align the scheme’s assets with a price lock. This also enabled them to transfer gilts in specie, saving transaction costs and reducing the quoted price.

The full buy-in was advised by XPS and completed in November 2023.

Gerard Francis, Head of UK Design and Strategic Risk at Schroders Solutions, said:

“We have an excellent relationship with Vector and we are pleased to have supported the Scheme to endgame on behalf of its members. We monitored buyout funding levels, worked closely with the client and insurer to manage the illiquid assets, ensuring the scheme was well-positioned to act quickly and transact at the opportune time. The groundwork had been done which saved the client transaction costs and ultimately delivered benefits for its members.”

Source: Schroders
Multiple reports with cicle diagram and text

About Exelerating

The Exelerating platform helps you to gain relevant insights into € 6,000+ billion of European institutional assets. We do this by tracking and analysing thousands of public sources of data.

Learn more