Dear all
looking at exhibit 33 on the case I concluded that because we had liabilities at 5% any asset class with returns lower was not efficient. the T bill at -2 was if we invested all the money at 3% liabilities would grow faster leading to a shortfall of 2% …
however looking at exhibit 35 i see expected surplus of something around -23 for US LT Gov TR - and a 12.0 standard deviation for the T bill … I don’t get where the numbers come from and wonder what the x axis and the y axis show ?