Program Helps in DB Fund Status Review

May 14, 2002 ( - Defined benefit plan sponsors and their consultants could have an easier time analyzing a plan's long-term financial outlook with a new product from Investment Technologies.

According to an Investment Technologies press release, its new IT Asset-Liability Review program maps a pension plan’s current and future obligations and helps plan sponsors determine how those obligations are best funded.

The new program also helps a plan sponsor develop investment and contribution policies incorporating a plan’s assets and liabilities, the company said. Investment Technologies said IT Asset-Liability Review could model standard actuarial cost methods as it customizes the following results:

the minimum investment return required to meet funding and contribution goals,

funding ratios and contributions for up to 20 years for likely, optimistic, and pessimistic investment scenarios,

the appropriate allocation of fund assets for each funding scenario, and

a detailed FAS 87 analysis

The company said a plan sponsor could obtain an asset/liability review for about $5,000 using the new program.