UBS outlook on UK pension risk transfer 2025 By Investing.com
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 27 2025
0mins
Should l Buy PRU?
Source: Investing.com
Market Activity and New Entrants: The UK pension risk transfer (PRT) market is expected to remain active in 2025, with new insurers entering the space and a growing diversity of solutions for pension schemes. Analysts note that while large schemes may consider alternative strategies, most still prefer insurance-based PRT approaches.
Regulatory and Longevity Risks: Regulatory developments are shaping the market dynamics, particularly with the implementation of Solvency UK and scrutiny over Funded Re transactions. Insurers are also focused on longevity risk, with concerns about potential increases in life expectancy due to medical advancements, although they typically reinsure a significant portion of this risk.
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Analyst Views on PRU
Wall Street analysts forecast PRU stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PRU is 120.00 USD with a low forecast of 113.00 USD and a high forecast of 125.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
0 Buy
8 Hold
0 Sell
Hold
Current: 105.260
Low
113.00
Averages
120.00
High
125.00
Current: 105.260
Low
113.00
Averages
120.00
High
125.00
About PRU
Prudential Financial, Inc. is a financial services provider and global investment manager. The Company offers a range of financial products and services, including life insurance, annuities, retirement-related products and services, mutual funds, and investment management. It offers these products and services to individual and institutional customers through its own and third-party distribution networks. It operates in the United States, Asia, Europe and Latin America. Its segment includes PGIM, U.S. Businesses, International Businesses, and Corporate and Other operations. The PGIM segment provides investment management services and solutions related to public fixed income, public equity, real estate debt and equity, private credit and other alternatives, and multi-asset class strategies, to institutional and retail clients and its general account. The U.S. Businesses segment consists of the retirement strategies, group insurance and individual life products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Committee Roles: Mannen will serve on the Board’s Corporate Governance and Business Ethics Committee and Compensation and Human Capital Committee, and her extensive leadership experience is expected to support the Board's efforts in transforming Prudential into a higher-growth company.
- Financial Expertise: Previously, Mannen was CEO of Marathon Petroleum, overseeing all finance-related functions and investor relations, showcasing her strong financial acumen that will likely provide critical support for Prudential's strategic decisions.
- Education and Other Roles: Mannen holds an MBA and a bachelor's degree in commerce and accounting, and she serves on the boards of other companies, although she will not seek reelection at Owens Corning's upcoming Annual Meeting, indicating her broad influence in the industry.
See More
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- Educational Background and Other Roles: Mannen holds an MBA and a bachelor's degree in commerce and accounting, and she currently serves as a director at Owens Corning, chairing the Audit Committee, although she will not seek reelection at the upcoming Annual Meeting of Stockholders.
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- Market Leadership: Prudential holds leading market positions in pension risk transfer, stable value products, and various life insurance offerings, with strong sales performance driving the operating results of its diversified business lines, ensuring stable net investment income growth.
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