By: Russ Kamp, Managing Director, Ryan ALM, Inc.

We are pleased to provide you with the Ryan ALM, Inc. Q1’24 Newsletter. You’ll find lots of interesting information related to defined benefit pensions, with a particular focus on pension liabilities. The firs quarter of 2024 was a good quarter for pension America, as rising rates and strong asset gains combined to improve funded status for all plan types.

That said, there have been several recent articles that included comments from leading actuaries imploring plan sponsors to take risk out of their current asset allocations. We’ve encouraged pension plan sponsors to do that for decades, as riding the asset allocation rollercoaster has only lead to increased contribution expenses and volatility of the funded status. It is time to adopt a new approach. One that will secure the promised benefits and allow participants and plan sponsors to sleep better at night.

Please don’t hesitate to reach out to us if you’d like more information on how to de-risk a plan. We’ve written chapter and verse on the subject.