The trend of corporate pension funds employing strategies to mitigate risk in their plan shows no signs of slowing, with more than 60 percent saying they would take that path this year, according to a survey by Aon Hewitt.
The survey, which looked at 220 companies with 5.8 million employees, found that by the end of the year 62 percent of plans expected to match their investments to their liabilities, a process called de-risking.
Increasing stock prices and rising interest rates in 2013 have put pension plans on their best financial footing since the start of the Great Recession. Generally, corporate defined benefit plans ended last year with funded ratios of 95 percent.
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.