The funding ratio of the typical U.S. pension plan increased sharply during the second quarter of 2013, new research shows.
UBS Global Asset Management discloses this finding in its latest U.S. Pension Fund Fitness Tracker. The industry benchmark combines asset and liability returns, and measures the impact of a "typical" investment strategy on the funding ratio of a model defined benefit plan in the U.S. due to interest rollup, change in interest rates and typical asset performance, but excludes unique plan factors, such as service cost and benefit payments.
The Tracker rose 6 percentage points to 88 percent during the second quarter. Combined with gains in the first quarter, the estimated year-to-date total improvement in funding ratio is close to 11 percentage points.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
