UAT LHA Implementation-Cash

Standard Third-Party Benchmark Solutions

Plans in the early stages of LDI, or those looking to fill in only one component of their overall LDI solution, can consider the following Loomis Sayles strategies:

Blended Benchmark Solutions

Plans looking to pursue more customized solutions, following the LHA design phase,  may construct blended benchmarks to better match the desired exposures.  We believe most plans with over 20%-30% allocated to RSA, can employ the following five building blocks to construct effective blended benchmarks.

Liability Mirroring

Plans in the late stages of LDI, or plans looking to have a portfolio that closely resembles their liabilities, in an isolated sense, can rely on our proprietary framework of managing directly to the liabilities through discount curve reconstruction.

Hypothetical liability shown for a pension plan with a 14.4 yr duration discounted using a standard industry AA US corporate discount curve. Hypothetical examples are provided for illustrative purposes only and do not represent actual portfolios or recommendations. The use of model results has inherent limitations, including the reliance on assumptions, the lack of actual trading and the inability to account for changing market conditions.