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Understanding Pension Buy-Ins, Buy-Outs and Lump Sum Payments (PDF)
SEI
Mar. 13, 2013
"[P]lan sponsors are considering the following risk reduction strategies in 2013: [1] 63% -- Liability driven investing; [2] 47% -- Lump sum payments; [3] 31% -- Closing/freezing accruals; [4] 16% -- Plan termination; [5] 14% -- Annuitization. This commentary provides an overview of the benefits and challenges that plan sponsors face in implementing annuitization options and lump sum payments to decrease risk."
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