Over the years, Canadian pension plans have been increasingly adopting private debt strategies. At the same time, higher interest rates have also afforded plans the opportunity to de-risk and reduce funded status volatility. Aaron Young, Senior Director, Investor Relations, discusses the types of private debt strategies that he believes are best positioned to complement a liability-aware portfolio.
Aaron addresses the key factors to consider when choosing the best private debt strategy to fit within a liability-aware portfolio, including underlying credit quality of the portfolio, identifying optimal duration profiles, and increasing cashflow production to help match liabilities.
