City and county pension plans saw their ratio of unfunded future liabilities plummet more than 10 percentage points to 69 percent from 2011 to 2012, according to a report released Tuesday.
Wilshire Associates, a global independent investment and consulting firm, said the 106 public retirement systems included in its 11th annual survey saw their ratio from 80 percent. For the 105 systems that reported data before June 30, 2012, the funding gap reached a total of $173.6 billion, up from $101.6 billion a year earlier.
"This deterioration in funding ratio was fueled by global stock market volatility in the 12 months ending June 30, 2012…," said Russ Walker, vice president, Wilshire Associates, and an author of the report, in a press release. "Of the 105 city and county retirement systems which reported actuarial data for 2012, 92 percent have market value of assets less than pension liabilities, or are underfunded."
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.
