More than fifty per cent of pension trustees (54 per cent) are planning to opt for a buy-out, according to a survey by MetLife Assurance, an affiliate of US life insurer MetLife and a provider of employee benefits.

More than fifty per cent of pension trustees (54 per cent) are planning to opt for a buy-out, according to a survey by MetLife Assurance, an affiliate of US life insurer MetLife and a provider of employee benefits.

The survey found that 51 per cent of those likely to opt for a buy-out of their company’s pension scheme said that it would occur within the next two years, and one in five said it would most likely go ahead in less than a year.

Emma Watkins, business development manager at Metlife, commented: “These findings demonstrate the continued appetite for buy-outs despite current financial market conditions. We know trustees and employers will want to ensure they are making diligent decisions at all times, and particularly so during times of market volatility. Thus, the move to buy-out will have been carefully considered over a period of time.”

Watkins added: “Those trustees that have been preparing through de-risking strategies will be the ones less affected and, therefore, the ones most likely to continue to proceed. Those that haven’t considered a buy-out up until now will recognise the benefit of reducing risk, particularly having been affected so recently by market movements. Even those that can’t afford to transfer risk now will almost certainly see the benefit of doing so at some point in the future and may consider a buy-in as a transitional step.”