DC Solutions: Adding Global Bonds to Target-Date Funds

By Alison Martier and Seth J. Masters

Within US defined contribution (DC) target-date funds (TDFs), whether we’re considering customized TDFs for larger plans or packaged solutions for smaller plans, our research shows that having a bond allocation that is not US-centric can lead to better outcomes and enhance the effectiveness of the glide path. (more…)


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A Guide for Globalizing DC Core Menus

By Alison Martier and Seth J. Masters

At a time when plans are seeking to control risk and enhance returns, hedged global bonds can help improve outcomes for US defined contribution (DC) investors. Hedged global bonds have delivered better risk-adjusted results over time than US bonds. So how do we recommend plan sponsors incorporate global bonds, and what is the ideal allocation in core menus? (more…)


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In Search of DC Solutions: Are Global Bonds the Answer?

By Alison Martier and Seth J. Masters

Many US defined contribution (DC) plan sponsors are seeking solutions aimed at reducing undue volatility—excess volatility without a commensurate increase in return—that can prevent a plan and its participants from achieving their long-term objectives. Our research suggests that hedged global bonds may be one solution. (more…)


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