Nuveen Asset Management First to Leverage Wilshire Bond Index to Create Family of Pension Indexes ‘Powered by Wilshire’â
Wilshire Associates Incorporated (Wilshire®) today announced the launch of the Wilshire Bond Indexâ to provide investment firms with a more accurate reflection of the investible U.S. fixed income market.
The Wilshire Bond Index represents the performance of U.S. institutional bond holdings. Wilshire’s new index, introduced by the company’s Wilshire Analytics business arm, is uniquely designed to track money managers’ holdings, providing a valuable perspective on the fixed income market.
“The Wilshire Bond Index assesses the performance of fixed income securities that have been selected by institutional bond managers who actively trade pension assets, which we believe is a measure that better reflects true bond market performance,” said Cecilia Loo, president of Wilshire Analytics. “Composition of the new index is an important distinguishing factor because its holdings are based on actual investor holdings which are far more relevant from a benchmarking perspective than the simply issued-based holdings of other bond market indexes.
“Additionally, the new index leverages more than four decades of Wilshire’s time-tested expertise in analytics, providing unrivaled acumen to meet the needs of managers and asset owners seeking high-quality performance benchmarking, meaningful attribution and better measures of risk,” added Loo.
The Wilshire Bond Index tracks the approximately 13,000 securities from the Wilshire Trust Universe Comparison Service® (Wilshire TUCS®) database, which represents more than $3.7 trillion in institutional assets. Last month, Nuveen Asset Management launched four new ’Powered by Wilshire’â indexes that leverage Wilshire’s new bond index offering.
“We were looking for a simpler and more effective de-risking solution for our clients in the U.S. corporate defined benefit pension market, and Wilshire’s new fixed income offering provided a highly compelling option,” said David Wilson, Managing Director and Head of Institutional Solutions for Nuveen Asset Management. “The ‘Powered by Wilshire’ platform enabled us to leverage the Wilshire Bond Index and bring an innovative solution to market by introducing a family of customized indexes that will enable plan sponsors of all sizes to effectively match their liabilities, while enhancing yield potential.”
Returns for the Wilshire Bond Index are available on a daily basis from December 31, 2015 and on a monthly basis from June 30, 2004.