Ryan ALM
White Papers
Pension Doctor: Specialist or Generalist?
Pension Doctor: Generalist or Specialist When a person gets sick or has an injurythey go see a doctor. Usually, they prefer to see a Specialist who is the recognized expert...
Pension Conundrum: Same or Similar ROA
The Funded Ratio (FR) of a pension is usually based on the actuarial value of assets / actuarial value of liabilities. The Funded Status (FS) is the actuarial value of...
Bond Yields… Caveat Emptor
Most bonds are priced and traded on some yield calculation. These yield calculations are based on assumptions that are difficult, if not impossible, to achieve. For example: Yield to Maturity...
How To De-risk a Pension
Risk is best defined as the “uncertainty” of meeting the client objective. The pension objective is to fund liabilities in a cost-effective manner such that contribution costs remain low and...
Cash Flow Matching Overview
Cash Flow Matching Pension Objective Fund benefits in a cost-efficient manner with prudent risk Pension Needs Liquidity to fund benefits Reduce Contribution costs Reduce Volatility of Funded Status Strategy Value...
Immunizing Pension Expense Volatility
Pension management is an Assets vs. Liabilities objective. Corporations tend to focus on pension expense since it is a direct hit to earnings and stockholder value. Corporations do not want...
The Pension ROA is Plural…ROAs
The pension return on assets (ROA) assumption is a critical calculation since it affects both assets (asset allocation) and liabilities (discount rate). Most plan sponsors and their consultants focus on...
The Flaws of Bond Indexes…Benchmark, Bogey or Bogus?
The first bond indexes were born June 1973 created by Art Lipson (my boss) at Kuhn, Loeb. As my mentor, I owe Art much for his educational leadership. When Lehman...