Defined Contribution Funds

GMO Defined Contribution Funds - DC Insights

Catherine LeGraw - Published 3/16/2015
Catherine LeGraw, a member of GMO's Asset Allocation team, suggests that corporate pension plans currently in the process of de-risking by reducing interest rate risk may also want to evaluate other investment risks they bear, most particularly, valuation risk.
James Sia - Published 8/29/2014
Target Date Funds (TDFs) have become the most prevalent solution for Defined Contribution (DC) schemes in the United States. While TDFs have provided better diversification than participants historically achieved on their own, significant improvement is possible by adhering to an investment philosophy that incorporates dynamic asset allocation in TDF glide path construction. In a companion piece to Ben Inker and Martin Tarlies Investing for Retirement: The Defined Contribution Challenge, Jim Sia provides historical context and a rationale for the importance of solving the right problem, minimizing shortfall, and using dynamic asset allocation to maximize the potential of the U.S. DC system.
Ben Inker and Martin Tarlie - Published 4/5/2014
Ben Inker and Martin Tarlie take a fresh look at the challenge of Defined Contribution investing. Their research shows that minimizing expected shortfall is an improvement over more traditional optimization objectives, along with the ultimate objective - avoiding financial ruin. Furthermore dynamic asset allocation, moving ones assets, can dramatically improve a participants odds of achieving retirement savings success.
Peter Chiappinelli - Published 3/12/2012
The "Value" based investment philosophy has been touted for years by some of the most well-known (and successful) investors as the best approach to picking stocks. At GMO, we apply that same approach to buying asset classes. As we launch our Series Trust mutual funds for the Defined Contribution market, Peter Chiappinelli, a member of our Asset Allocation team, explains how GMOs time-tested, disciplined valuation based approach - buying cheap assets - is particularly well-suited to the challenges faced by participants in the Defined Contribution market.
An investor should consider a fund's investment objectives, risks, charges and expenses before investing. This and other important information can be found in the fund's prospectus. A prospectus may be obtained by calling GMO toll-free at 877-GMO-7778 (877-466-7778) or by clicking the "GMO Series Trust Fund Literature" link above. Read the fund's prospectus carefully before investing.