As a result, Legal & General have secured the benefits of around 1,800 retirees and deferred members through the Cable and Wireless fund.
The sponsoring company, Cable and Wireless, is part of Liberty Latin America, a telecommunications firm in more than 20 countries. The fund is a long-standing client of Legal & General Investment Management (LGIM) and is an existing policyholder of Legal & General.
Also, this buy-in marks the fund’s third and final transaction with Legal & General following transactions in 2017 and 2019.
Kai Hoffmann, director, Legal & General Retirement Institutional, said: “We are pleased to have built on our long relationship with the Cable and Wireless Superannuation Fund and support this next step of its de-risking journey. The Trustee and its advisers ran a very efficient process which allowed the Fund to react to favourable market movements and implement an efficient solution for its complex benefits.”
Dean Johnson, trustee director, stated: “This is a further important step in reducing the exposure of the Fund to investment and other risks such as changes in life expectancy. With all benefits payable from the Fund now matched by insurance contracts members can take great comfort in the security of their pensions in retirement.”
Matt Read, treasurer at Liberty Latin America, continued: “We have fully supported the Trustee in this process and are delighted the Fund has reached the stage where all member benefits are insured. This latest transaction leaves the Fund in an incredibly strong position and is a great outcome for members of the Fund and the Sponsor.”
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Ben Adams, partner at LCP, added: “It has been a pleasure to work with the Trustee and Sponsor in such a collaborative way and to reach this excellent outcome for members. Market conditions have been changing rapidly in recent months and there were a number of complexities in this transaction including multi-currency benefits. It has taken a great amount of effort and focus from all parties to achieve this and we are delighted to have played our part.”