A report from Lincoln Pensions argues that current accounting standards for defined-benefit pension schemes in the UK are not up to scratch.
Research carried out by Lincoln Pensions reveals that accounting disclosures of FTSE 350 companies with UK pension obligations do not provide sufficient information to allow stock market investors, as well as other stakeholders, to fully appreciate the scale and volatility of the funding position of the defined-benefits schemes within their portfolios.
This is critical as, for many companies, they are the longest-term and most volatile liability on their balance sheet.
Better information would, according to Lincoln Pensions, assist stakeholders
For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda
The rapid pace of change in areas such as technology, global politics and demographics poses unique challenges for financial services firms. How should boards approach strategic decision-making when faced with so many near-term pressures?