Liabilities fell faster than assets for the typical US corporate pension plan in November, resulting in a 0.3% improvement in funded status to 75.1%, according to BNY Mellon Asset Management. Year to date, funded status has declined 10.0%.
In November, assets for the typical corporate plan fell 0.7% as equity markets in the US and other developed markets retreated, according to BNY Mellon. Plan liabilities decreased 1.1% as the Aa corporate spreads widened 27 basis points, the firm says.
“The rally at the end of November enabled equities to regain much of the ground that they had been losing for the majority of the month,” says Jeffrey B. Saef, managing director of BNY Mellon Asset Management and head of the Investment Strategy & Solutions Group. “By the time the dust had settled, we ended up with a very small change in funded status for the month.”
(CG)