XPS Pensions Group (XPS) has appointed Harry Harper as head of risk transfer, the firm has revealed.
The firm says the new hire will “further build upon XPS’s capabilities to engage and assist clients in reaching their end-goal of buyout”.
Prior to joining XPS, Mr Harper led JLT’s buyout and buy-in team for two years and prior to that was a member of Mercer’s buyout team.
He was responsible for the UK’s first “all risks” insurance transaction, the first buyout from Pension Protection Fund assessment and the first online bulk annuity e-auction.
Patrick McCoy, head of advisory at XPS Pensions Group, said: “Harry is a perfect fit for XPS, with his experience of innovative bulk annuity transactions, covering multi billion pound pension schemes down to the more modest regional schemes.
“This will strengthen our offering and ability to serve the full range of pension schemes, to the very highest standard.”
Mr Harper said: “I am excited to join XPS, a fast growing and ambitious organisation with a clear aim of putting scheme’s interests at the very front of everything we do.
“I look forward to the opportunity to rapidly drive the pensions risk transfer industry forward.”
DB transfer values rose to record highs in August 2019, while the number of members requesting a transfer value continues to increase, according to XPS Transfer Watch.
XPS Pensions Group’s ‘Transfer Value Index’ jumped sharply to an all-time high of £258,200 on 21 August 2019; up from £247,400 at the end of July 2019.
The increase was said to have been “largely driven by a significant fall in gilt yields during August, partially offset by a small fall in inflation expectations”.
XPS Pensions Group reported an increase in the number of transfer quotes being requested across some of its schemes, with some members choosing to pay for an updated calculation with transfer values at their peak.
Mark Barlow, partner, XPS Pensions Group, said: “The impacts of recent volatile markets have seen transfer values increase steadily over the last two months, with an all time high in August.
“The continuing fall in gilt yields has pushed transfer values to new record highs, around 10% higher than they were this time last year.
“Although there is a lot of uncertainty around the future of the financial markets, an increase in transfer values will mean we are likely to see a lot of members investigating their options.
“Trustees and sponsors should ensure that members considering long term irreversible decisions are being provided with sufficient education and support to enable them to make the right decision for their circumstances and financial futures.
“We would also recommend schemes consider how the substantial changes in market conditions have affected the funding strategy and whether, in light of this, the transfer value basis remains appropriate.”