January 2, 2015

January 2015, "Dynamic Asset Allocation as a Pension Plan 'De-Risking' Strategy: The Devil Is in the Details"


Pension experts from Sibson Consulting and investment experts from Segal Rogerscasey collaborated on the latest issue of Spotlight, which discusses dynamic asset allocation as a pension "de-risking" strategy and is intended for financial professionals. As a plan's funded status improves, dynamic asset allocation gradually reduces the plan's allocation of "return-seeking assets" and increases the allocation to "liability-hedging" assets.

This Spotlight outlines a number of elements to a dynamic asset allocation that require thoughtful consideration on the part of the plan sponsor and notes some of the decision points the sponsor will face in implementing a dynamic-asset-allocation strategy.