The Markit iBoxx US Pension Liability Indices comprise a three-index set of benchmarks that reflects pension liability performance. The indices help plan sponsors, consultants and investment managers construct more successful liability-based investment strategies.

The indices enable consultants, plan sponsors and other investors to manage long-duration bond portfolios and other liability-driven strategies against them. Compared to other options currently available for liability benchmarks, these indices are more comprehensive and offer the following advantages:

1. They are based on actual liability profiles and mimic the investment grade yield curve. They are therefore more appropriate than most existing indices.
2. They are published daily and are directly investable, using the LIBOR interest rate swap curve as the discount curve – a highly liquid universe.
3. They provide the flexibility to use combinations of the indices in order to accurately represent customized liability profiles based on a plan’s specific participant population.

For the version of current Markit iBoxx US Pension Liability index rules, please click here.