Liability Driven Investment

Defined Benefit pension funds have become more conscious of the need to align their assets and liabilities more closely. This has lead to an increasing use of Liability Driven Investment (LDI) solutions, ranging from a realignment of bond portfolios to sophisticated matching of liabilities against tailored portfolios of government bonds, swaps, inflation linked bonds and corporate bonds.  Here at AIBIM we work closely with Legal and General Investment Managers to deliver cost effective and scalable client focused solutions to allow clients build a stronger defence against future changes in interest rates and inflation.

Pooled funds are an efficient tool for the implementation of a Liability Driven Investment solution. The principal benefits of implementing a LDI solution via a pooled route are as follows:

• Simplicity of implementation 
• Ease of ongoing administration and monitoring 
• Reduced legal costs 
• Anonymity

This enables us to provide an LDI solution regardless of a Scheme?s size.

Should you have any queries or would like to further information on our LDI capabilities please contact:

Ollie Fahy
Senior Business Manager
Investment Solutions
AIB Investment Managers
Percy Place
Dublin 4
 
Tel: +353 1 6410281
e-mail: oliver.p.fahey@aib.ie