Paternoster’s assets under management have increased by 21 per cent in quarter three of this year.
As at 30 September 2007, the total value of assets transferred to Paternoster was £406 million, an increase of 21 per cent quarter on quarter.
Paternoster chief executive Mark Wood says: “The market is growing rapidly. On average, in the first half of the year, we provided quotations on £2 billion worth of business each month. Subsequently, July saw £3.5 billion of business being quoted on, August £4.6 billion and September £4.9 billion.
“These quotation volumes suggest that in 2007 the market for defined benefit risk transfer could grow by between 200 – 300 per cent over 2006. Both company sponsors and trustees are increasingly recognising the merit of securing the promise to pay pensions through the backing of a regulated insurance company.”