Incorporating Alternatives in an LDI Growth Portfolio

June 2015
Many pension plan sponsors following a liability driven investing (“LDI”) approach have split their portfolios into hedging assets and growth assets. Typically, public equity strategies have constituted the vast majority of growth portfolios. Historically, alternative investment strategies have demonstrated an ability to meaningfully enhance the risk/return profile of a long-only equity allocation. In this Rocaton Insights, we detail several alternative asset classes which may be appropriate for inclusion in an LDI growth portfolio.


Download PDF