Which type of retirement plan provides benefits that can be guaranteed regardless of market fluctuations?

A defined benefit pension plan is designed to offer a predetermined benefit amount upon retirement, which is typically based on factors such as salary history and years of service. The employer assumes the investment risk and is responsible for ensuring that there are enough funds to meet the promised benefit, regardless of market performance. This means that even if the market declines, the employee will still receive the guaranteed benefits specified in the plan.

In contrast, a defined contribution plan, such as a 401(k), relies on employee and employer contributions invested in the market, with retirement benefits varying based on the performance of these investments. Roth and traditional IRAs are individual retirement accounts that also depend on market conditions, and the size of the retirement savings at the time of withdrawal can fluctuate significantly depending on investment performance. Thus, a defined benefit pension plan is distinct in its ability to provide guaranteed benefits, making it the correct answer.