‘Record demand’ for index-linked Gilts stems from pension duration gap

first_img“However, with circa £400bn of index-linked Gilts in issue versus around £1trn of inflation-linked pension liabilities, the supply and demand imbalance is unlikely to be eased any time soon.”The issuance, which matures in 2058, will grant many institutions the ability to address both duration and maturity gaps in their existing hedging portfolios, according to Barron.“In addition, the significant supply at the syndication has highlighted hedging opportunities for pensions schemes that have flexible LDI mandates in place to take advantage of the current attractive pricing for hedging inflation risk separately to interest rate risk,” she said.“The cost of hedging long-dated inflation risk using either inflation swaps or index-linked Gilts with their interest rate sensitivity removed is at the most attractive level in over a year.”The comparatively low volume of index-linked Gilts, when viewed against pension liabilities, has caused the UK National Association of Pension Funds to warn that it was “creating risks” for pension funds.“There has been increasing frustration from schemes that, to reduce their interest rate and inflation risks, they are effectively ‘forced’ buyers of Gilts with low or negative real yields,” the association said in June. A UK Gilt issuance that attracted £14.5bn (€18.3bn) in offers is proof that pension investors are keen to address their duration mismatches in their hedging profiles, despite falling bond yields.Following the syndication of £5bn in 45-year index-linked Gilts, AXA Investment Managers (AXA IM) said interest, which stood at £14.5bn, proved there was still significant demand for such issuances, despite a negative yield of 5.3 basis points a year.Lucy Barron, senior solutions manager at AXA IM, said the demand clearly stemmed from domestic pension providers wishing to manage liability risk.“Index-linked Gilts continue to be seen as the best match to inflation-linked liabilities,” she said.last_img read more

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Paddy Power turns to Crouchy to deliver on Cheltenham’s tall orders

first_img Paddy Power raises awareness of Missing People with Motherwell ‘silhouette’ stand August 7, 2020 Related Articles Paddy Power has set out to create its next Cheltenham Festival ‘viral moment’ after securing the services of Peter Crouch as its new brand ambassador.Seeking to gain the ‘highest coverage’ possible during a crucial Festival period for all bookmakers, Paddy Power has turned to the multi-talented former Premier League fan-favourite turned superstar podcaster Peter Crouch as its Cheltenham 2020 figurehead.Securing the talents of Crouch, Paddy Power marketing has already applied a number of blue-sky ideas with the help of Irish champion jockey Ruby Walsh, seeking to extract the racing knowledge and value of its new ambassador.“Crouchy! Footballer, beanpole, podcaster, former virgin, is now jockey,”  read the Paddy Power statement.“Yes, you read that right. Here at Paddy Power we’ve only gone and made the lanky b*stard don some silks and throw his leg over a thoroughbred racehorse.”The start of Cheltenham 2020 will see Paddy Power once again turn-up the dial on its marketing coverage. Two weeks ahead of the Festival start, the bookmaker launched its ‘neighbour to neighbour’ UK multi-media advertising campaign which featured Irish actor Colm Meaney who delivered an urgent message to English sports fans. Cheltenham 2020 sees Paddy Power continue its legacy sponsorship of the ‘Prestbury Cup’, the Festival accolade that celebrates the famous and good-natured competition between both nations and is awarded to the country with the most winners at the end of The Festival. Submit StumbleUpon Share Share Bookies Corner: Trump Presidency sinks as US 2020 enters its 100 day countdown July 29, 2020 Flutter moves to refine merger benefits against 2020 trading realities August 27, 2020last_img read more

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Iowa to launch statewide rape kit tracking system

first_imgDES MOINES — After a recent survey found thousands of sexual assault evidence kits were left untested in Iowa, the state is launching a plan to keep close track of such rape kits in the future.Lynn Hicks, communications director for the Iowa Attorney General’s Office, says a sample-tracking software company is being hired to roll out its Track-Kit system to all regions of the state by mid-2020.Hicks says, “Basically, it will follow the rape kits from the time a kit is at the medical facility or hospital and used in an exam, and then all the way through the final disposition of the case.”According to Hicks, the system will connect more than 1,200 users at Iowa medical facilities, law enforcement agencies, crime laboratories, and county attorney’s offices.“Most important, it will allow that sexual assault survivor to be able to get information on the status and location of the kit,” Hicks says, “so they would be able to follow it throughout the process.”A survey in 2017 by the Iowa Attorney General’s Crime Victim Assistance Division found more than 4,200 untested rape kits in police departments and sheriff’s offices across Iowa. Efforts are being made, Hicks says, to tackle that backlog, but the new tracking system is also crucial.“We think this is going to be a big step forward,” Hicks says. “This software will increase the accountability and transparency throughout the process and ultimately will empower survivors of sexual assault.”Of the 4,200 untested rape kits found statewide, more than 1,600 have been sent to private labs for testing. From those, Hicks says 235 DNA profiles have been entered into CODIS, the FBI’s Combined DNA Index System. Of those, 127 were hits, or matches to DNA in the database, enabling the information to be forwarded on to prosecutors.last_img read more

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