Pension Risk Transfers Hit $14.6 Billion, Setting Q1 Record (1)

Pension risk transfers hit an all-time first-quarter high with 146 contracts worth $14.6 billion sold, including in major transactions by Verizon Communications Inc. and Shell USA, according to a new report.

The 26% increase in pension risk transfer contracts over the first quarter of 2023 signals accelerating plan sponsor interest in de-risking their pension obligations amid favorable economic conditions, financial services trade association LIMRA said in a statement Thursday on its newly released data.

Market performance and high interest rates created surpluses that drove momentum for pension de-risking during the first quarter after a previous record-high year for transactions ...