What does a defined benefit plan need

a defined benefit plan with a large number of retirees is likely to have a high need for A. Income

B. Liquidity

C. Insurance

answer is

A.

But I’m confused. Don’t know why… COuld anyone help? THanks a lot!

They have to make payments to lots of retirees; having income means they don’t have to sell securities to meet their cash flow needs.