Pensions should diversify into alternatives, says Watson Wyatt

UK pension funds should diversify away from equities into asset classes such as hedge funds, property, high yield and emerging debt, according to fund consultants Watson Wyatt.The firm believes the investment environment is changing and pension funds' continued reliance on equities and bonds to meet their liabilities has now exposed them to greater risks than at any point in the past 30 years.Roger Urwin, global head of investment practice at Watson Wyatt and author of the group's Global Inv