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In the context of managing risk within the pension fund sector, which of the following statements is correct?
A
A pension plan's total VaR is equal to the sum of its policy-mix VaR and active management VaR.
B
Pension fund risk analysis does not consider performance relative to a benchmark.
C
In most defined-benefit pension plans, if liabilities exceed assets, the shortfall does not create a risk for the plan sponsor.
D
From the plan sponsor's perspective, nominal pension obligations are similar to a short position in a long-term bond
