Defined benefit schemes are entering a new phase. Funding levels have improved, endgame options like buy-out or running on are coming into sharper focus, and matching assets face new expectations. The question is no longer just whether your hedge manages risk, but whether it actively supports the scheme’s long-term strategy.

In this Q&A-style piece, Patrick Race sets out ten practical questions trustees can use to reassess their hedge: from what you are really hedging against and how often you recalibrate, to the interaction between different hedge ratios, the focus of your LDI assets, and whether liquidity and illiquidity are truly in balance.