Investment Needs for Welfare Benefit Trusts
Health and welfare benefits for active and retired employees are a major source of expense. Short-duration liabilities and tax implications add complexity, raising the stakes for every decision.
| How do we… | Bellwether can… |
|---|---|
| Secure promised benefits and enhance company performance by achieving maximum after-tax return? | Review investment policy to improve portfolio efficiency; conduct a thorough review of managers during the selection process and on an ongoing basis. |
| Control earnings volatility and limit funding risk? | Use mean-variance and mean-semivariance analysis to project volatility and maximum probable loss consistent with desired returns; monitor manager risk characteristics; not just returns. |
| Achieve our investment objectives at the lowest possible cost? | Benchmark manager expenses; incorporate fee analysis into strategy formulation and manager selection; do the work; so your team can stay focused on making decisions. |
| Make the most of the investment menu in our COLI platform? | Use constrained optimization techniques to find the best possible portfolio of investments. Our manager search methodology fully incorporates platform constraints and fee sharing arrangements to arrive at the best investment menu; given your administrative; tax; and budget objectives. |
| Communicate effectively with our Board and other decision-makers while resolving different points of view? | Develop clear written policy and mandates; putting all parties on the same page; distill volumes of detail into reports appropriate for the audience; facilitate meetings; challenge senior leaders with grace; provide clear and unambiguous recommendations. |
| Make sure the plan stays on track; with minimal commitment of staff time? | Provide on-going monitoring of your investments; ensuring they are performing as expected and alerting you quickly when they’re not. We’ll work closely with you to resolve issues before they become problems. |
| Stay on top of the market? | Provide insightful market updates; conduct focused research to address any special issue; provide real opinions; not generic rules of thumb. |
Click these links for more general information about our services: