Pension Risk Transfer Facts for 2022
You may be wondering how the market for Pension Risk Transfers fared in 2022. As a final wrap up post for 2022, here are some stats to help you answer that question. A pension “buy-out” transaction transfers all liability to retirees and beneficiaries from the plan sponsor to the insurance company through the purchase of a group annuity contract.
First Quarter 2022:
- $2.667 billion in “buy-out” purchases
Second Quarter 2022:
- $12.311 billion in “buy-out” purchases
Third Quarter 2022:
- $26.145 billion in “buy-out” purchases
- 145 contracts purchased
- 342,870 participants affected
Fourth Quarter 2022:
- No real data yet – we will provide these stats when available
Total value of “Buy-out” contracts for 2022: Expected to surpass $50 billion!
