Amid Muted Returns, a Plan to Reshape Hedge Funds
In recent years, hedge funds have not assumed sufficient risk to deliver attractive performance, but Willis Towers Watson suggests new approaches they can take to remain relevant.
Investing
ESG Investments a Good Option for Retirement Plans
Performance is not sacrificed by investing in environmental, social and governance (ESG) investments, and plan sponsors and participants can align their financial goals with their values, a white...
Impediments to Widespread Adoption of ETFs in DC Plans
Despite their advantages, the purpose of defined contribution plans and ability of recordkeeping systems to handle exchange-traded funds' unique traits keep them from being widely adopted by plan...
Custom TDF Data Shows Plan Sponsors Aligning Assets for Different Demographics
The Defined Contribution Institutional Investment Association has issued a first-of-its-kind report about allocations in custom target-date funds (TDFs), and while plan sponsors' data is aggregated for the report,...
Number of Pension Buy-Out Deals Growing Each Year
“A big driver of the 2018 buy-out sales was a combination of mid- to large-PRT deals,” says Eugene Noble, research analyst, LIMRA Secure Retirement Institute. “We also saw...
Future Market Expectations Leading Institutional Investors to Diversify
Fidelity finds some difference between how larger and smaller institutions plan to diversify.
Active TDFs Offer Advantages for DC Plan Participants
Cerulli Associates points to active target-date fund (TDF) performance during market volatility and the ability to mitigate sequence of return risk for defined contribution (DC) plan participants as...
DC Plan Participant Use of TDFs Continues to Grow
While target-date funds (TDFs) are intended to automatically diversify retirement plan participants’ portfolios, Vanguard found nearly one-third mix TDFs with other investments and “are pursuing what appear to...
Cerulli Foresees Increased Use of Managed Accounts in DC Plans
“Growing emphasis on financial wellness, concerns about lack of retirement income options within employer-sponsored plans, increasing customization for the participant, and fiduciary concerns could spur additional growth in...
Cerulli Finds All Talk, No Action Regarding DC Plan ESG Investment Adoption
Cerulli Associates found fee sensitivity and the notion that environmental, social and governance (ESG) investing entails a trade-off in performance are two broadly applicable headwinds to ESG adoption.
Average SDBA Balances Fall to $246,153
Mutual funds held the highest percentage of participant self-directed brokerage account (SDBA) assets, according to Charles Schwab.
Don’t Let 3(38) Fiduciary Confusion Entangle Your Plan
Plan sponsors must take as much time as necessary to understand what it means to hire a 3(38) discretionary investment manager; setting clear goals and expectations is critical.
Responsible Approaches to Tactically Managing TDFs
Target-date fund (TDF) providers use tactical strategies to support goals of the funds’ glide paths, but responding to a report from a professor of finance at London Business...
Trend in TDF Move to Passive Management Continues
Sway research finds target-date series that invest in passively managed underlying funds, as well as those that invest in collective investment trusts (CITs) have been increasing, while target-date...
Pension Experts Urge LDI Considerations, Stress Tests in 2019
Pension plan sponsors can avoid giving back recent gains in funded status if and when another recession strikes by implementing liability-driven investing (LDI) principals.
LDI Strategies and Preparing DB Plans for Recessions
Speakers on a PGIM Fixed Income webcast offered practical steps pension plan sponsors can take today and over time to protect funding levels; they suggested liability-driven investing is...
A Drop Off in Volatility in January Led to Scant Trading
It was the slowest start to the year in the 20-plus years of the Alight Solutions 401(k) Index.
What Baby Boomers Can Do When Market Volatility Hits Near Retirement
Experts weigh in on how to balance a near retirement future with instability in the market.
Public Pensions Report Strong 2018 Returns
Between nearly doubled investment returns, stable contributions and cost-effectiveness, the "2018 NCPERS Public Retirement Systems Study” shows an increase in pension funding.
How and When to Encourage Use of Managed Accounts
While some defined contribution (DC) plan participants may choose to invest in a managed account, there may be others who don’t choose to do so that would benefit...