NO.PZ2023010409000014
问题如下:
Dianna Mark is the chief financial
officer of Antiliaro, a relatively mature textile production company
headquartered in Italy. All of its revenues come from Europe, but the company
is losing sales to its Asian competitors. Earnings have been steady but not
growing, and the balance sheet has taken on more debt in the past few years in
order to maintain liquidity. Mark reviews the following facts concerning the
company’s defined benefit (DB) pension plan:
The DB plan currently has €1 billion in assets and is underfunded by
€100 million in
relation to the projected benefit obligation (PBO) because of investment
losses.
The company to date has made regular contributions.
The average employee age is 50 years, and the company has many
retirees owing to its longevity.
The duration of the plan’s liabilities
(which are all Europe based) is 10 years.
The discount rate applied to these liabilities is 6%.
There is a high correlation between the operating results of
Antiliaro and pension asset returns.
Determine whether
the risk tolerance of the DB plan is below average or above average. Justify
your response with two reasons.
解释:
这题的答案意思是below和above两种情形都可以吗?