Asset managers cut debt in pension scheme investing strategies
Asset managers have cut sharply the amount of debt supporting pension scheme investment strategies after market turmoil triggered by the UK government’s “mini” Budget.
Investment advisers to pension schemes say the levels of leverage offered by some of the biggest so-called liability-driven investing (LDI) managers had almost halved in a week.
The moves are adding to pressure on pension schemes to raise extra cash by selling assets or tapping corporate sponsors for a bailout.
This story originally appeared on: Financial Times - Author:Harriet Agnew
