Enhancing Yield for Insurance Company Portfolios

As part of their strategic asset allocation process, an insurance company is assessing their investment portfolio. The portfolio primarily comprises bonds with varying maturities and a smaller allocation to equities. The company is particularly focused on matching the duration of its liabilities while seeking to enhance yield without increasing risk excessively.

The investment team has come up with three potential strategies: increasing the equity allocation, investing in longer-duration bonds, or introducing alternative investments such as private equity and real estate.

Given this context, which strategy would most likely enhance the overall yield of the portfolio while maintaining an appropriate risk profile for an insurance company?