The aggregate funded ratio for US corporate pension plans increased by 1.1 percentage points to end the month of October at 86.0 percent, according to Wilshire Consulting.
Wilshire Consulting assists in ensuring secure and safe retirements for millions of Americans, including those participating in some of the nation’s largest corporate and public retirement plans.
The monthly change in funding resulted from a 0.9 per cent increase in asset values and a 0.3 per cent decrease in liability values. Despite September and October’s increases, the aggregate funded ratio is estimated to be down 1.5 and 5.9 percentage points year-to-date and over the trailing twelve-months, respectively.
“October’s increase in funded ratio was driven by the increase in asset value resulting from positive returns for nearly all asset classes,” says Ned McGuire (pictured), Managing Director and a member of the Investment Management & Research Group of Wilshire Consulting. “October’s 1.1 percentage point increase in funded ratio is the sixth monthly increase this year.”
