Slocum Implementing New Risk Analytics Platform

Slocum has adopted RiskFirst’s real-time analytics and reporting platform, PFaroe. The investment advisory firm – which serves more than 125 institutional clients with total invested client assets of approximately $120bn – will use PFaroe to help inform strategic asset allocation decisions and implement dynamic de-risking strategies.

Nicole Delahanty, Principal at Slocum, comments: “We will always strive to be a firm that takes a big picture or qualitative view of the market when setting long-term asset allocation strategy for our retirement plan clients. But a dynamic pension landscape also calls for the ability to view pension risk on a frequent basis – we need to stress-test our views and ensure that they meet the needs of our clients from a funded status, cash and expense perspective. PFaroe is an important addition to our toolkit – allowing us to evaluate clients’ risk from multiple perspectives and to perform real-time scenario stress-testing.”

Delahanty adds: “More and more of our clients are also implementing LDI or de-risking programs – particularly those with frozen plans who want to reduce funded status volatility as their funded status improves. To do this efficiently and effectively, we need a robust and real-time system – cue PFaroe.”

Matthew Seymour, Managing Director, RiskFirst, comments: “It is clear that de-risking is swiftly moving up the agenda for US pension plans, large and small, and we are delighted that the industry is turning to real-time analytics to improve efficiency and effectiveness of such solutions. Slocum is a firm that takes a highly customised approach to developing asset allocation and risk management for clients, which marries perfectly with PFaroe’s holistic and flexible approach.”