Stable Value Solutions
RIG Value Fund's Stable Value Solutions combine the stability that defined participation plans require with the international investing and risk management that our stakeholders expect.
What Is a Stable Value Fund, and How Does It Work?
A stable value fund (sometimes known as a money market fund) is a limited risk opportunity of investment that pays greater returns (like a bond fund).
It can do so because it contains a short-term bond fund with an extra insurance element that protects investors from risking any of their money.
Although strong bond funds are low-risk investments with lower volatility than stocks, there is no assurance that their value would not fall when interest rates increase.
Stable Value funds are fixed-income portfolios that aim to match the performance of short-term bond funds while offering the same degree of principle protection as money market funds.
Such portfolios have an average term of three years and an aggregate credit grade of AA. The market value of the underlying assets will fluctuate.
What Are Stable Value Wrap Contracts?
Stable Value Wrap contracts are investment vehicles that give limited assurances on portfolios and a contract value to enable stable value participants to smooth out market value volatility.
The Stable Value Wrap serves to protect the principle while giving investors consistent, positive returns.
The stability provided by these wraps raises the profile of Stable Value funds, allowing them to be offered as a conservative, low-risk investing alternative through defined contribution plans.
What Is The Benefit to Stable Value Managers?
Stable Value Wrap contracts are provided by RIG Value Fund to suit stable value managers in the United States. We provide enticing package terms and contracts through:
1. Providing capacity from one of RIG Value Fund's high-yielding assets.
2. Having access to extensive Stable Value Wrap and financial knowledge.
3. Using knowledge in analyzing and controlling tail risk exposure incomparable products due to economic conditions and policyholder behavior.
4.Creating a contract template that is suited to the demands of the customer.
Stable Value at RIG Value Fund
RIG Value Fund's Stable Value Wrap experts can help with a wide range of Stable Value Wrap contract needs.
RIG Value Fund's worldwide investing and risk experience, highly rated financial strength, and in-house expertise enable us to provide customers with the capacity they require – when they require it.
We are committed to fostering long-term relationships with our clients by developing solutions that are suited to their individual requirements and offering the most complete service available.
We assist customers at every stage of the process, from early conversations through successful wrap contract implementation and beyond.
It's difficult for retirement investors to play it safe. You will not lose money if you invest in a money market mutual fund.
However, you won't make much money, and you may even lose purchasing power over time. Money market fund rates have been substantially below inflation since the conclusion of the Great Recession.
Of course, you may try bonds. Bond funds have greater yields, but they also come with additional risks.
So, what should a risk-averse retiree do?
Stable value funds are a fantastic place to start because they are a possible goldilocks alternative that may already be available through your employer's retirement plan.