De-Risking Strategies to Strengthen Your Corporate Pension Plan

DB plans face a range of risks, from equity market turbulence to changing interest rates—and have a broad array of tools to manage them. A Capital Efficient Approach for Managing DB Plan Assets details ways plans can manage risk through investment strategies such as duration extension, minimum volatility equities, and more.

Plans have different risk-management needs at various stages of their life cycles. Weighing Your De-Risking Options can help clarify the needs of your plan—whether it is well-funded or underfunded, open and accumulating assets or closed—and help you identify strategies to address manage its most important risks.

Defined benefit plans can select from a spectrum of fixed income investment styles, from traditional, market-weighted indexing to systematic active strategies to fundamental active approaches. Implementing Your De-Risking Strategy: Plan-by-Plan Considerations discusses how you can identify the right style or combination of styles for your plan, based on its specific needs and approach to de-risking.

Liability-driven investing (LDI) can offer an appealing way to minimize interest-rate risk. That said, the long-dated indexes that LDI strategies often use can introduce certain pitfalls, such as duration mismatches between invested assets and plan liabilities. De-Risking Effectively Using Fixed Income Building Blocks unpacks those pitfalls, and it explains how plans can overcome them using funds with targeted exposures to pooled assets such as SSGA’s LDI Building Block Pooled Funds.