David Bennett

Articles from David Bennett

  • Brexit: The Implications - What You Need to Know

    The ramifications for investors of the UK’s referendum decision will take some time to materialise. We are entering uncharted territory - nobody knows precisely how Brexit will be implemented or its consequences. What is clear is the result will herald a period of considerable uncertainty and market volatility. If we have learnt anything from history, it is that these kinds of major events happen surprisingly regularly. Which is why it is so important to design and implement a robust, risk-managed and well-diversified investment strategy for the long term. And why it so imp ... ..read more

    There continues to be potential for pension capital appearing where bank lending no longer wants to go. Commentators in the UK and continental Europe have heightened expectations that pension funds will step in to help fill the continent’s bank financing gap. Societe Generale, for instance, recently predicted further “disintermediation” by investors sidestepping banks and looking for greater seniority than bond holding. Over in the US, the news that average yields on high-yield debt have fallen below 5 per cent for the first time, according to the Barclays US High Yiel ... ..read more

    In recent years it has become the convention for defined benefit pension schemes to assign different asset classes to one of two categories: growth/return seeking or liability matching. However, this framework may inadvertently deny consideration of other potentially very attractive assets that do not fit neatly into either category. Such assets offer relatively high risk-adjusted returns, but at the same time possess liability-matching properties. This combination can help a pension scheme achieve full funding while minimising the level of risk.   The pension industry is beginning ... ..read more

    Pension scheme deficits on corporate balance sheets are facing increased scrutiny by creditor banks and ratings agencies. This scrutiny stems from a mixture of ongoing economic malaise, tighter capital regulations, bank deleveraging and rising pension deficits.  The impact has been severe, for example, with some banks writing clauses into loan agreements forbidding firms from acquiring subsidiaries with DB schemes.  Bank refinancing of corporate sponsor loans and scheme contribution schedules have also been negatively affected. A few recent cases highlight the depth of this iss ... ..read more

David is Head of Investment Consulting. He joined Redington as an investment consultant after twenty-four years at Goldman Sachs where he initially worked in fixed income sales, concentrating on UK institutional clients and central banks.

More recently, David spent seven years working in the Pensions and Insurance Strategy Group advising UK pension funds and insurance companies. He was also a trustee of the Goldman Sachs Defined Benefit pension fund.

David has an actuarial background from his time as trainee actuary at Commercial Union, and studied Mathematics at Cambridge.