Public Pension Funded Ratios Decline to 87.4% in September
Market losses during the month erased $112 billion in funding for the 100 largest U.S. public pensions.
Market losses during the month erased $112 billion in funding for the 100 largest U.S. public pensions.
A 3.5% aggregate investment loss for the 100 largest public defined benefit plans in the U.S. sent their funded ratios sharply lower in March, according to Milliman.
Returns for the 100 largest U.S. public plans during the month ranged from a loss of 1% to a gain of slightly more than 1%, per Milliman.
The stock market rebound in November and December spurred a $349 billion increase in the 100 largest U.S. public plans’ funding, per Milliman.
The 100 largest public plans saw an aggregate investment loss of 1% during the month.
The funded ratio for the 100 largest public funds dropped to less than 73%, while corporate plans rose to 110%.
Contributions and lackluster returns outweighed by benefits payments.