Pension Fund De-risking – taking a holistic approach to income generation
In this video, we explore how alternative income strategies can accelerate the de-risking journey for Defined Benefit pension schemes.
Bringing together Invesco experts covering Private Credit, Real Estate and Buy and Maintain Credit, we discuss how alternative income can provide a diversified source of return to meet schemes’ funding objectives and a predictability of income to enable cashflow matching.
Focusing on a holistic approach to income generation, we discuss the value of combining alternative strategies such as Real Estate Debt with Buy and Maintain Credit to provide flexibility and certainty of cashflows, and consider the challenges schemes face including inflation and ESG.
Key topics covered in this video:
2:12 De-risking and the opportunities for Defined Benefit pension schemes
3:17 How a more holistic approach to income generation may differ from a cashflow driven investment strategy
4:58 How can Real Estate Debt help schemes achieve the income and yield needed, especially in the context of rising rates and inflation
7:19 How are a range of alternative income asset classes useful for delivering return
8:54 Where does Buy and Maintain Credit fit into a holistic approach to income generation
11:16 How do you build a resilient portfolio, for example including Real Estate Debt
13:36 Buy and Maintain Credit: what are the considerations in terms of cashflow matching
16:00 How do you implement an allocation to private markets strategies
16:53 Summary: What support can Invesco offer Defined Benefit schemes to help solve the broader challenges they face
Podcasts in the Define Benefit Pensions series
Useful resources
Alternatives platform
Alongside Invesco’s in-house capabilities, our multi-manager alternatives platform offers a single point of access to high-quality alternative strategies. These come from select, market-leading boutique managers in private equity, private credit, infrastructure and real assets.