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Compound Interest - PIC's Quarterly Update Q1 2023

  • Compound Interest
  • Social value

Welcome to the first issue of Compound Interest, a new quarterly series in which we will share our team’s thinking on the significant feedback loop which exists between the assets that sit within the UK’s c.£6 trillion savings system and the economy; how the pensions these savings back react to volatile markets; what this means for government borrowing, or investment in UK infrastructure, and for levelling up; and how the (unintended) consequences of public policy and regulation underpin and drive these flows.

Topics in this issue:

  • how the 2022 mini-budget accelerated the pension risk transfer market
  • the impact on UK government borrowing – who’s going to be buying gilts?
  • why borrowers on the listed markets won’t benefit
  • but why private borrowers will benefit – but with some sectors, like social housing, losing out
  • what this means for public policy goals

We’ll aim to strike the right balance between lifting the lid on the themes that our experts think important and reflecting on the major market moments as they happen, but we’d love to hear from you too. If you have any feedback on this, or any future issues of Compound Interest, or wish to make suggestions for our experts to cover in future, please do get in touch with the team.

Download PDF Compound Interest [PDF]

Do you have a question for our experts?

We’d be delighted to hear from you. Whether you have a specific query raised in this issue of Compound Interest, or whether you’ve a question you’d like us to answer in the next issue.

Please email any questions or observations to apfel@pensioncorporation.com

If you would like future issues of Compound Interest delivered to your inbox, please get in touch here picmarketing@pensioncorporation.com

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