What is an LDI?
Career: Ldi
LDI stands for Liability-Driven Investment, a strategy used primarily by pension funds and insurance companies to manage assets in line with their future liabilities. The goal of an LDI professional is to ensure that investment portfolios are structured to meet future obligations, such as pension payouts, by minimizing the risk of funding shortfalls. LDIs use a mix of bonds, derivatives, and other financial instruments to match the timing and size of expected liabilities, helping organizations achieve greater financial stability.