IPS (DB Plan) – Active to retired participants ratio

@alta12, in the question it compares against industry standard. The companies work force avergae age is more than the industry, so we need higher liquidity(relatively)

@alta12, I see it in the answer as high only. 2C right? Hope I am looking at the right one

@alta12, they left in the morning only. I would never do that. Just relax these 2 days. Revise notes/ formulae. Whatever comes let us give our best shot. in fact I stopped studying from today morning itself. Don’t want to get strained anymore.

In this case I don’t think I can describe the ratio either but maybe look for whether the ratio is increasing or decreasing. If the ratio is increasing (e.g. hiring more younger staff, etc) then risk tolerance is increasing.

@alta12, I think what text says is right. 1:1 ratio is high for us implies active lives are low( retirees are very high). So active to retired ratio is low.

@alta12, very unlikely that they will give this ratio :). But would definitely see it as high. Having equal number of retirees as active ones might mean company established quite long ago and might have slowed down and not able to keep pace with trend. so sponsor also might not be in a good shape. (on the other side it might have adopted to latest technologies and reduced its staff drastically too)

@alta12, 2B is about risk tolerance and return, not about liquidity

@alta12, I am thinking you are getting very tensed 😀

@alta12, all I hope is our paper is not a bomb like the 2013 one. I have seen people who appeared for level 3 leaving exam in the first half itself