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Overview

Let us show you what steps your company can take to overcome the business challenges of mitigating your pension plan risk.

Current landscape
We understand the risks associated with pension plan liabilities and how they can affect your organization’s balance sheet, cash flow, and income statement. And more and more, we’re noticing that these liabilities are becoming harder for companies to manage in today’s market and regulatory environment. That’s why organizations like yours are taking concrete steps to mitigate the risks associated with their pension liabilities.

De-risking strategies
Your company can mitigate pension plan risk through a variety of strategies, including: 

  • Traditional asset allocation
  • Partial risk transfers
  • Full closeouts

Download our Pension Risk Management Continuum slip sheet to find out how each of these strategies could impact your business.

Growing interest in annuity buyouts

Because of their favorable low risk and costs, interest in annuity buyouts has increased. In an annuity buyout, your company would purchase a group annuity contract from us, transferring some or all of its defined benefit plan’s obligations and related risks to the issuing MetLife insurance company.1 You would retain the plan design features and benefits that your participants are vested in.

Preparing to de-risk 

Your company should actively prepare to reduce its plan risks so that opportunities are recognized and seized upon. 

Quantify & evaluate
Quantify & evaluate

Examine all current plan costs and the financial impact that a risk reduction strategy may have on funded status, earnings volatility, and ongoing expenses.

 
Understand
Understand

Interpret the plan's economic liability — or the cost to settle the liability — and the accounting impacts of such a strategy.

 
Obtain
Obtain

Secure the necessary internal approvals for action.

 

 
Monitor
Monitor

Keep an eye on market returns and interest rates to identify the right time to implement your risk reduction strategy.

 
Roadmap to Transferring Pension Benefits

Prepare today by downloading our Roadmap to Transferring Pension Benefits brochure.