Bio: Himanshu Almadi is a Managing Director and Senior Quantitative Analyst for the Chief Investment
Office (CIO) within Bank of America Corporation. In this role, he is responsible for the development of
frameworks and solutions for asset allocation, portfolio construction, and goals-based wealth
management supporting Merrill and Bank of America Private Bank.
Previously, Himanshu was a senior portfolio manager with the Portfolio Construction & Management
team at Merrill, where he launched and currently manages the Dynamic Asset Allocation ETF portfolios.
He has had his research published in the Journal of Wealth Management (JWM) and Journal of Portfolio
Management (JPM). Himanshu played a key role in framework development and application of Goals-
based Wealth Management.
Prior to joining Bank of America, Himanshu worked at Deutsche Bank where he focused on validating pricing and risk
management models for asset-backed securities such as residential mortgage-backed securities, Collateralized Debt
Obligations. Himanshu earned his M.S. degree in Operations Research from Columbia University and his Bachelor of Engineering from
University of Delhi, India.
Abstract: The structural shift from defined-benefit to defined-contribution retirement systems has amplified the need for quantitatively robust, scalable solutions to address post-retirement income sustainability. Traditional investment products—such as Target-Date Funds and annuities—often exhibit structural limitations, including ambiguous glide paths, lack of liability-matching precision, illiquidity, and suboptimal risk-adjusted return profiles.
This presentation introduces a model-driven, rule-based investing framework that leverages quantitative asset allocation techniques to construct retirement portfolios aligned with specific income generation objectives and investor risk preferences. We propose two systematic portfolio constructs: (1) an Income-Dedicated Portfolio (IDP) that dynamically replicates the duration and cash flow profile of U.S. Treasury bonds using liquid instruments such as ETFs, mutual funds, and SMAs; and (2) an Income and Growth-Seeking Portfolio (IGSP) that employs a hybrid structure combining fixed-income replication with risk-managed equity participation to deliver a targeted upside capture while preserving capital stability.
These constructs draw on techniques from fixed-income replication, downside risk management, and dynamic asset allocation under real-world constraints. The discussion will highlight the underlying quantitative models, optimization criteria, and implementation challenges, offering an applied perspective on retirement income engineering. The framework serves as a practical application of financial engineering principles in addressing the decumulation problem, bridging the gap between academic modeling and institutional portfolio construction.
