[Verse 1] Corporate treasurers gather 'round the boardroom table Pension promises made, now they need to be stable Defined benefit plans promise fixed monthly pay But defined contribution shifts the risk away [Chorus] IPS spells out the rules, Investment Policy Statement DB needs liability matching, that's the settlement DC gives individual choice, account balances grow Funding obligations differ, this is what you need to know IPS, IPS, guides the pension symphony DB or DC, each needs different strategy [Verse 2] Benefit plans calculate what retirees will need Actuaries crunch numbers, plant the funding seed Duration matching bonds to meet those future claims Asset allocation mirrors when each payment came [Chorus] IPS spells out the rules, Investment Policy Statement DB needs liability matching, that's the settlement DC gives individual choice, account balances grow Funding obligations differ, this is what you need to know IPS, IPS, guides the pension symphony DB or DC, each needs different strategy [Bridge] ERISA regulations keep the trustees in check Fiduciary duty protects each pension spec Minimum funding ratios, maximum allocation caps Quarterly reporting fills all the regulatory gaps [Verse 3] Contribution plans build wealth through salary deferrals Employee picks investments from the approved barrels Target date funds adjust as retirement draws near Age-appropriate gliding as the golden years appear [Chorus] IPS spells out the rules, Investment Policy Statement DB needs liability matching, that's the settlement DC gives individual choice, account balances grow Funding obligations differ, this is what you need to know IPS, IPS, guides the pension symphony DB or DC, each needs different strategy [Outro] Plan sponsors balance costs with promised benefits Pension mathematics, where precision never quits Investment policy statements chart the course ahead Retirement security built on what the IPS said
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