Having accurate daily analytics helps you manage your scheme properly. It puts you in control by giving you real-time information to make decisions about your scheme's funding and investments.
3DANALYTICS tracks your scheme's funding position on whatever different assumptions you need to know about. Typically trustees monitor technical provisions and a long-term or buy-out target. 3DANALYTICS can also track information for your sponsor, like IAS19.
3DANALYTICS also answers "what if" questions. Its interactive modeling can test different assumptions and shows how economic factors (like interest rates and inflation) can affect funding. What's more, it does this in real time, so no more waiting about for results.
Under the bonnet, 3DANALYTICS links to our phenomenally detailed benefit projections. This encompasses all your scheme's details, like full member data, member-by-member longevity, detailed modeling of different pension increases and the precise impact of yield curve changes, i.e. how different market prices for interest and inflation at different terms affect your liabilities. On the asset side, we build in your actual scheme cashflows and asset performance to keep 3DANALYTICS true. This gives you the confidence that your decisions on funding are based on an accurate and complete picture.
3DANALYTICS provides a single up-to-date source of information for trustees, sponsors and advisers. This cuts down cost and ensures all parties are working from the same information. Because it's an online app you can do this whenever and wherever you want; on a Sunday morning at home, in a trustee meeting or during discussions with your scheme sponsor.
Whether you're monitoring funding level triggers, finalising your funding assumptions or planning where your scheme should go next, 3DANALYTICS has the analytics. Knowing you have the most up-to-date and accurate information means you can make decisions with confidence, more quickly and not miss opportunities.
When a scheme has set de-risking triggers, it's vital its funding level is monitored regularly. Trustees can then respond as soon as opportunities arise to take risk off the table.
3DANALYTICS lets them do exactly that, as our client, a FTSE350 recruitment company, recently discovered. By tracking their funding level daily, they were able to make two key de-risking trades in 2013, switching from growth to matching assets when the pre-agreed triggers were reached. As their ultimate aim is self-sufficiency, being able to make timely decisions to lock in funding improvements and reduce future volatility is a huge step forward.