The Canadian Institute of Actuaries (“CIA”) has adopted a new standard for calculating the ‘commuted value’ of a pension plan, which will come in effect on December 1, 2020. In this paper, TD Asset Management will share our perspective on the impact of the CIA’s new rules from an Asset Liability Management (“ALM”) standpoint. Based on the analysis we have conducted, the change in standards will make it easier for pension plan sponsors to structure bond portfolios that more closely replicate solvency liability performance, in most spread environments.