Regulation
British Regulators Issue LDI Guidance So ‘Necessary Lessons Are Learned’
The Pensions Regulator and the Financial Conduct Authority aim to prepare LDI investors for future volatility.
Tag: LDI
Pensions
Corporate Pension Sponsors’ Use of OCIO Services Is Growing, While Interest in Risk Assets Wanes, Research Finds
Vanguard’s 2022 pension sponsor survey explores how the global pandemic, market volatility and rising inflation influenced pension decisionmaking.
LDI Push to Lower Stock Exposure Reaches Its Destination
The de-risking trend has seen equities cut in half since 2008, to around 30% of assets, and Milliman thinks that’s where it will stay.
Pensions
Higher Interest Rates Put LDI Derivative Usage into Question
LDI strategies allow for passive equity to be replaced by holding ‘cash’ and synthetic equity instruments. But with better funding statuses, are pensions’ derivative positions less necessary?
Pensions
“Relief Is No Longer Relief:” Financial-Market Upheaval Overtakes Best Intentions of Pension Legislation
Even with American Rescue Plan Act relief largely unavailable, pension plan balance sheets improved in 2022, causing some corporate plan sponsors to consider adding risk in 2023.
Asset Allocation
De-Risking Moves More Corporate Plans Into Passive Strategies
Fees come down thanks to the shift, says a new study.
The Plus Side of Rising Interest Rates: Lower Pension Liabilities
Higher rates are no friend to bond portfolios, but they make life easier for DB plans.
Asset Allocation
JPM: De-Risking Plans Suffer if They Don’t Broaden Out to Alts
The old LDI method of sliding into bonds from stocks is past its prime, a study from the firm says.
Paul Colonna: The Perfect Fit for a Big Company CIO Job
Sporting good returns, Lockheed Martin’s investment chief prepped at State Street and General Electric.
De-risking Corporate Pension Plans Is Getting Tougher
After making great strides to improve DB funded ratios, increased market volatility and delayed contributions may reverse that momentum.
Market Moves
Plan Sponsors See Recession in Three Years, Lower Targets
NEPC survey finds LDI investors have better-funded plans.
Hooray, LDI Is Progressively Making Corporate Pension Portfolios Less Risky
Fixed income now is their largest asset class, but this comes with a caveat. Sliding interest rates might thwart further improvements.
CIO’s Transition Management, LDI Surveys Extended
Surveys to remain open until Sept. 20.
CIO’s LDI Survey Now Open
Survey tracks liability driven investment practices and vendor experience/capabilities.
Volatile Markets Are Spurring Defined Benefit Plan De-Risking
Survey also finds rising PBGC premiums encourage funding increases.