Todd Investment Advisors has launched an asset/liability matching strategy. It invests in bonds to match short-dated liabilities--from five to 15 years in duration--and then uses exchange-traded funds ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

In recent years, many US plan sponsors have adopted liability-driven investing (LDI) in response to changes in accounting standards (FASB 87) and funding requirements (Pension Protection Act). Others ...

Liability-driven investing, or LDI, is an investment strategy that focuses on matching assets with liabilities. This strategy is used by pension plans to hedge against market-related risks that could ...

On the go: Soaring inflation may prevent actuaries from being able to match schemes’ underlying liabilities with appropriate assets, with costs set to increase, the Institute and Faculty of Actuaries ...

Diageo Pension Scheme has switched 5 per cent of its assets from its growth to its matching portfolio after hitting a derisking trigger, tipping its investment balance towards holdings that track ...

This chapter discusses the valuation of assets and liabilities under Solvency II. Given that strategic asset allocation and investment management are key aspects of an insurer’s business, especially ...

If you are a student of finance studying ALM, the last few weeks must have been quite a perfect academic period to witness the SVB debacle unfold, as you mapped this use case to some of the written ...