Siemens Benefits Scheme completes £530m buy-in with L&G

Siemens Benefits Scheme has completed a £530m buy-in with Legal & General (L&G) Assurance Society, securing benefits for over 2,000 UK retiree members.

The trustees were advised throughout the transaction by Aon and Sackers, whilst L&G received legal advice from Eversheds Sutherland.

The transaction was completed under an umbrella contract, which was chosen by the trustee in order to ensure that potential future transactions can be completed quickly when the timing and market conditions are right.

Siemens head of pensions, John Smith, said the transaction as "another major milestone" for the scheme.

Siemens Benefits Scheme chair of the trustee, Joanna Matthews, added: “I am delighted that we have been able to complete another key step in the trustee’s de-risking journey.

“Through careful planning, we were able to overcome the logistical and investment challenges posed by Covid-19 and complete this transaction at this time on very favourable terms. This is a fantastic outcome and I would like to thank all involved in the process.”

Siemens previously completed a £1.3bn buy-in with Pensions Insurance Corporation (PIC) in 2018, covering around 6,000 pensioners.

This is also the second recent buy-in completed under an umbrella contract by L&G, having announced a £70m deal with ICI Pension Fund earlier this week.

    Share Story:

Recent Stories

Are current roads into retirement delivering member value?
Laura Blows explores HSBC Master Trust’s recent report, Converting pension pots into incomes, with HSBC Retirement Services CEO, Alison Hatcher.

Savings and finance at retirement
Laura Blows is joined by Claire Felgate, Head of Global Consultant Relations, UK, at BlackRock, to discuss savings and finance at retirement. Please click here for an edited write-up of the video

Making pension engagement enjoyable through technology
Laura Blows speaks to Nick Hall, business development director and Chartered Financial Planner at UK-based Wealth Wizards about the opportunities that technology provides for increasing people’s engagement with pensions and increasing their retirement wealth. Please click here for an edited write-up of the video

Pension portfolios – the role of asset-backed securities
Laura Blows is joined by Royal London Asset Management (RLAM) head of sterling credit research, Martin Foden, and its Senior Fund Manager, Shalin Shah to discuss the role of asset-backed securities (ABS) within pension fund portfolios
Incorporating ESG into fixed income
Laura Blows is joined by TCW head of fixed income ESG, Jamie Franco, to discuss incorporating environmental, social and governance (ESG) strategies into fixed income portfolios