Mortal combat (TT JulAug04 p18-20)

At a time when many UK pensions schemes have highprofile deficits, treasurers are under increasing pressure to become involved in understanding the risks associated with final salary schemes. Naturally, they often focus on areas that play to their strengths, particularly the relationship between the assets and liabilities in the scheme, often involving the hedging of interest and inflation risks and asset allocation decisions.