{
  "title": "Stress Tests for Defined Benefit Pension Plans – A Primer",
  "publication": "IMF Working Papers, February 1, 2011",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623",
  "canonical": "https://www.imf.org/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623",
  "overlayPath": "/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/index.md",
  "summary": "Stress testing is a useful and increasingly popular, yet sometimes misunderstood, method of analyzing the resilience of financial systems to adverse events. This paper aims to help demystify stress tests and illustrate their strengths and weaknesses.",
  "sections": [
    {
      "heading": "Summary and purpose",
      "content": "- Stress testing is presented as a useful and increasingly popular, yet sometimes misunderstood, method of analyzing the resilience of financial systems to adverse events.\n- The paper aims to demystify stress tests and illustrate their strengths and weaknesses.\n- Using an Excel-based template with institution-specific data, readers are walked through the basics of liability valuation and stress testing of assets and liabilities of a typical defined benefit plan."
    },
    {
      "heading": "Methodology and tools",
      "content": "- Practical walkthrough using an Excel-based template with institution-specific data.\n- Core analytical focus: liability valuation and stress testing of assets and liabilities for a typical defined benefit plan."
    },
    {
      "heading": "Strengths and weaknesses (as emphasized)",
      "content": "- Strengths: Provides a hands-on, template-driven approach to applying stress testing to defined benefit pension plans.\n- Weaknesses: Stress tests can be misunderstood; the paper seeks to clarify limitations and appropriate interpretations."
    },
    {
      "heading": "Subjects and keywords",
      "content": "- Subject: Discount rates, Insurance, Pensions, Retirement, Stress testing\n- Keywords: interest rate, present value, WP\n\n---\n\n Content in this bundle\n\n- wp1129\n  - wp1129 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - wp1129 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/index.md)",
    "[Structured JSON version](/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/index.json)",
    "[Bundle manifest](/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/bundle-manifest.json)",
    "Authors: Gregorio Impavido",
    "Published: February 1, 2011",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781455216765.001",
    "Stress testing is presented as a useful and increasingly popular, yet sometimes misunderstood, method of analyzing the resilience of financial systems to adverse events.",
    "The paper aims to demystify stress tests and illustrate their strengths and weaknesses.",
    "Using an Excel-based template with institution-specific data, readers are walked through the basics of liability valuation and stress testing of assets and liabilities of a typical defined benefit plan.",
    "Practical walkthrough using an Excel-based template with institution-specific data.",
    "Core analytical focus: liability valuation and stress testing of assets and liabilities for a typical defined benefit plan.",
    "Strengths: Provides a hands-on, template-driven approach to applying stress testing to defined benefit pension plans.",
    "Weaknesses: Stress tests can be misunderstood; the paper seeks to clarify limitations and appropriate interpretations.",
    "Subject: Discount rates, Insurance, Pensions, Retirement, Stress testing",
    "Keywords: interest rate, present value, WP",
    "**_wp1129**"
  ],
  "related": [
    {
      "title": "_wp1129",
      "role": "document",
      "sourceUrl": "https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2011/_wp1129.pdf",
      "summary": {
        "path": "/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2011/_wp1129.pdf.md",
        "mime": "text/markdown"
      },
      "binary": {
        "path": "/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2011/_wp1129.pdf",
        "mime": "application/pdf"
      }
    }
  ],
  "alternates": {
    "markdown": "/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/index.md",
    "json": "/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/index.json",
    "bundleManifest": "/en/publications/wp/issues/2016/12/31/stress-tests-for-defined-benefit-pension-plans-a-primer-24623/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-18T06:03:37.145Z"
}