How Britain’s pension scheme hedge becomes a gamble

Massive headache: People queue at a money changer in London. Much of Britain's pension system finds itself at risk, amid raising widespread concerns about the country's financial stability, which comes after the government announced its "mini-budget". — AP

IT started out simply enough – British pension schemes were looking for a way to match their assets to future pension payments.

Schemes run for pharmacy Boots and bookseller WHSmith were early adopters in the 2000s of an investment strategy of dumping stocks for bonds, to shield themselves from interest rate changes.