Integrated Actuarial and Investment Solutions
River and Mercantile Solutions is a leading institutional investment and actuarial advisor and fiduciary manager. We are dedicated to providing our clients with the understanding and tools to successfully meet the investment goals of their institution. River and Mercantile Solutions is a division of River and Mercantile Group PLC, which is publicly traded on the London Stock Exchange (Ticker: RIV).
June was another period of volatile market movements as rates continued to fall off the back of the Federal Reserve’s decision to leave base rates unchanged – for now. Meanwhile global equity markets had a strong month, with U.S. equity markets in particular reaching all-time highs. For most plans this would have led to an improvement to their funding level, contributing to positive year to date performance. Following a difficult May this month was certainly a welcome relief.
2019 had been a fun ride for pension plan sponsors through the start of May, however the past few weeks have been less than fun. Year-to-date performance is still likely to be positive for most plans, but falling interest rates and negative equity returns during the month likely took a big chunk out of 2019’s gains. There’s no silver lining to be found here, as May was a bad month all around for pension plans.
Market ActivitySource: LIMRA Secure Retirement InstituteFollowing the record-breaking $26.3 billion in 2018, total pension buyout sales eclipsed $4.7 billion in Q1 2019, an increase of 240% compared to Q1 2018. Sales were driven by many small and mid-sized...