Careerguide

How to Build the Optimal Portfolio

Nieuws
30-08-2024
Alla Gil
Complex financial products like registered index-linked annuities (RILAs) feature an array of risks and benefits. Evaluating all possible outcomes is essential to developing an optimal long-term RILA investment strategy that maximizes return and minimizes risks.

Registered index-linked annuities (RILAs) offer a balance of growth potential and downside protection. But while they have gained popularity as retirement and investment products, they also present capital, liquidity and asset-liability management challenges to insurance companies.

These complex products appeal to consumers because they provide exposure to market gains while limiting losses – a benefit that is particularly attractive during periods of extreme market turbulence. However, RILAs are also complex, making it difficult for consumers, their financial planners and the insurance companies issuing these annuities to estimate their overall portfolio impact.

Chief risk officers of insurance companies certainly have their share of concerns about RILAs. These products not only impact insurers’ capital and liquidity ratios but can also potentially cause ALM mismatches. Indeed, sudden changes in the market environment may prove hedges to be either inadequate – because of increased correlations – or excessive – because, say, early withdrawals overwhelm embedded penalties.

[....]

Lees verder op: garp.org

Gerelateerde vacatures

Geïnteresseerd in een carrière bij organisaties in ditzelfde vakgebied? Bekijk hieronder de gerelateerde vacatures en vind de perfecte match voor jou!
Achmea
4.009 - 5.505
Medior
Zeist
Als Rapportage analist (vermogensbeheer) bij Achmea Investment Management ben je een cruciale schakel in het creëren van klantgerichte rapportages. Je bouwt aan inzicht en vertrouwen door het maken van kwartaalrapportages,...
ING
5.212 - 8.387
Medior, Senior
Amsterdam
Als Financial Risk Specialist bij ING werk je aan de implementatie van modellen en levenscyclusondersteuning in QRM voor Liquiditeit en GT-producten.
PGGM
Marktconform
Senior
Zeist
Als Investment Director Climate & Energy Transition Solutions (“CETS”) bij PGGM leid je de directe investeringsstrategie gericht op klimaat- en energietransitie. Je identificeert kansen, structureert deals, beheert activa en ondersteunt...
SAXO
Marktconform
Junior, Medior
Amsterdam
Als Institutional Account Manager bij SAXO ben je de spil voor onze institutionele partners in Mid-Europa. Je behandelt operationele vragen, lost complexe issues op en versterkt relaties met asset managers....