Penbridge Launches PRT Index Charting Tool

A new tool from Penbridge seeks to enhance plan sponsor understanding of pension annuity buyout pricing.

Penbridge Advisors announced the release of an advanced pension risk transfer (PRT) index charting tool that improves plan sponsor and adviser understanding of annuity buy-out pricing and other elements of PRT transactions.

The Penbridge PRT Index represents the premium that an insurance provider would charge for a buy-out of a “typical” defined benefit (DB) pension plan, the firm explains. The index tool is driven by the Penbridge PRT Database, and it can break down PRT pricing information on both a liability value basis and an effective interest rate basis. The information can be easily compared to various important measures, the firm explains, “such as PPA [Pension Protection Act], lump sum, accounting, and Treasury bases.”

The Penbridge PRT Database is currently used by more than 300 plan sponsors and advisory firms, according to the firm, and is one of the only online databases offering comprehensive information and research tools on the U.S. defined benefit PRT market.

Last year, Penbridge Advisors and P-Solve formed a strategic alliance to allow sponsor of defined benefit plans to integrate PRT information and advice within a fiduciary asset management offering.

More information about the index tool is at