The BCG Pension Insider

July 2020 - Volume 105, Edition 1

BCG and Allianz Global Investors Successfully Navigate Plan Termination

BCG & AllianzGI

BCG Pension Risk Consultants | BCG Penbridge (“BCG”) and Allianz Global Investors (“AllianzGI”) recently collaborated to assist a plan sponsor with navigating the risks inherent during the final months of a pension plan. This joint effort began in the months prior to the plan termination date, and continued through the entirety of the plan termination process, until the final payments were made from the plan. In this case study, BCG and AllianzGI discuss the considerations and process involved, and show how risk was eliminated and funded status preserved. Please download the case study to learn more.

Download Case Study Here


If you don’t think it’s a good time to buy annuities, think again!

How is annuity pricing now? Is this a good time to buy annuities? Some version of this question is the most common question we are asked at BCG. And the answer at the moment (July 2020) is that this is a great time to be buying annuities. Here’s why...

How is annuity pricing now

ANNUITY PURCHASE RATES

Sample Interest Rates for a Pension Annuity Buyout
(Assumes no lump sums, disability, or unusual provisions)

Retirees (duration of 7) – 1.41%
Term Vesteds (duration of 10) – 1.63%
Actives (duration of 15) – 1.79%

Annuity Purchase Rates as of July 1, 2020