Hedge funds set to play bigger role in pension fund investment strategies

LDI/ALM

Pension funds are struggling with their traditional methods of asset allocations and have found matching return against some benchmarks is just not giving the returns they need. Pressure on these funds to get higher returns on investments is driving them to look more closely at hedge funds.

At the same time actual and proposed changes in regulation and accounting standards in recent years have also led them to become more adventurous in their asset allocations, still very much focused on liabilit