"While both techniques allow a plan sponsor to get a sense of the risk -- that is, the volatility of outputs -- that is otherwise opaque in the traditional single deterministic model, stochastic modeling provides some advantage in that the individual economic scenarios are not manually selected.... Stochastic models are particularly useful in forecasting ... The output of the model will show not only the underlying riskiness of an output variable -- for example, funded status or contribution requirements -- but also how the risks may change over time."

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