Company: CENX
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000949157-25-000024
Chunk: 147

Company: CENTURY ALUMINUM CO
Filing Date: 2025-03-03
Form: 10-K
Item: Item 8
Chunk 147
---
 level of risk. This investment objective is expected to be achieved over the long term and is measured over rolling multi-year periods. Peer-relative performance comparisons will also be considered especially when performance deviates meaningfully from market indexes. Investment objectives for each asset class are included below.Asset Allocation Policy Asset allocation policy is the principal method for achieving the Pension Plans' investment objectives stated above. The Pension Plans’ weighted average long-term strategic asset allocation policy targets are as follows: Pension Plan Asset Allocation 2024 TargetDecember 31, 2024December 31, 2023Return seeking assets:Global equity50%51%44%Diversified credit15%17%15%Real assets10%11%10%Liability hedging assets25%20%28%Cash—%1%3% 100%100%100%Global equities are held for their long-term expected return premium over fixed income investments and inflation. Fixed income is held for diversification relative to equities, and as a hedging instrument to interest rate volatility for the pension obligation. Diversified Credit and Real Assets are held for diversification relative to equities and for income generation.The strategic role of global equities is to:•Provide higher expected returns of the major asset classes.•Maintain a diversified exposure within global stock markets through the use of multi-manager portfolio strategies.The strategic role of fixed income is to: •Diversify the Pension Plans’ equity exposure by investing in fixed income securities that exhibit a low correlation to equities, thereby lowering the overall return volatility of the entire investment portfolio.•Maintain a diversified exposure within the U.S. fixed income market through the use of portfolio strategies targeting treasury bond exposures. 

85

CENTURY ALUMINUM COMPANYNOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS(amounts in millions, except share and per share amounts)

•Hedge the interest rate risk of the pension obligation by investing in securities that target a similar duration to the pension obligation cash flows. The strategic role of diversified credit is to: •Diversify the Pension Plans’ equity exposure by investing in alternative credit securities that exhibit a low correlation to equities, thereby lowering the overall return volatility of the entire investment portfolio. •Maintain a diversified exposure within the alternative credit markets through the use of multi-manager portfolio strategies targeting, but not limited to, securitized credit, high yield securities, and emerging market debt. •Achieve returns in excess of passive indexes through the use of active investment managers and strategies.The strategic role of