C
Cirlu
Member
I'm struggling with all the different bases on which valuations can be done. SFO should be be based on prudent assumptions agreed between the trustees and scheme actuary. Is a SFO valaution additional to an ongoing and solvency formal tri-annual valuation under GN9? How often should a GN11 valuation be done? According to GN11 the liabilities should represent the expected benefit cost using a discount rate that may reflect an equity risk premium. GN11 also states that one must value the accrued benefits! Hence, my question: must I use earnings inflation or revaluation rate for deferred pensions to value the liabilities?
Then the PPF valuations: S146 and S179. How often must these valuations be done? Only on wind up? A S179 valuation is based on the approximated buy out costs. Does one follow the principles underlying the solvency valuation descriped in GN9 then?
Then the PPF valuations: S146 and S179. How often must these valuations be done? Only on wind up? A S179 valuation is based on the approximated buy out costs. Does one follow the principles underlying the solvency valuation descriped in GN9 then?