US Pension Funds - Articles & White Papers

During the last few years, many U.S. pensions have become fully funded for the first time since 2008. With the widespread adoption of liability driven investing (LDI), bonds now represent a majority of pension assets. With the use of more hedging and less equity risk, pension plan surpluses are likely to persist. This paper…

The Global Pension Assets Study estimates global pension fund assets across 22 major pension markets (the P22). These geographies now stand at US$55.7 trillion in pension assets and account for 69% of the GDP of these economies. The study, conducted by WTW and the Thinking Ahead Institute since the 1990s, includes an…

The financial resources, risk aversions, constraints, and objectives of participants in defined contribution plans are as varied as the people themselves. Because there is no uniform path to financial wellness for such a diverse population, plan sponsors should offer their participants a spectrum of solutions.

In the initial analysis of U.S. and Canadian asset owners (endowments, foundations, SWFs, and pension funds), 13F filings were used to analyze ETF holdings and trends in these investments. In 2023, asset owner ETF AUM increased 22%, to USD 56 billion. Over the past 10 years, ETF usage has increased 4x, with most of that…

Enthusiasm seems to be growing to reopen—or at least to stop closing and freezing—defined benefit retirement plans. The most dramatic manifestation of this enthusiasm for reopening plans has been IBM’s announcement to shift its 401(k) match to an automatic contribution to the cash balance component of its previously frozen…

Corporate pensions currently sit in a reasonably comfortable place relative to recent history.

“CalSTRS to Weigh New Opportunistic Sleeve, Eliminates 55% Limit on Private Assets”. So goes the headline of a recent article. Upon reading the article, I decided to explore the merit of CalSTRS’s proposed strategic shift, which is likely to place even greater emphasis on controversial alternative asset types.

The S&P Target Date® Scorecard provides performance comparisons and analytics covering the U.S. target date fund (TDF) universe. The S&P Target Date Index Series is a consensus-driven, multi-asset benchmark for TDFs. It is designed to be an accurate representation of TDFs in the U.S. market and to be the basis…

Are “safe” initial withdrawal rates, such as the “4% rule,” still the best guide for retirement spending? Our research offers a fresh perspective on portfolio withdrawal rates by integrating spending flexibility (i.e., dynamic withdrawals) and an outcomes metric that better captures the anticipated retiree sentiment…

We explore asset class coverage gaps in DC core menus and quantify the portfolio implications associated with these gaps.

Members of our LDI and Fundamental Factor teams share their views on defensive equity investments, including their role in a plan's portfolio and the current environment for defensive factors.

With deeper representation across the long duration spectrum, lower historical default rates and higher yields relative to comparable quality corporate bonds, taxable municipal bonds can complement and potentially enhance LDI portfolios.

This paper discusses investment vehicle selection in DC plans, with particular focus on the growing use of collective investment trusts (CITs). It also highlights some of the important decisions plan sponsors should consider when implementing a CIT.

Generational gaps shrink. Younger investors show less concern for ESG, while older investors continue to be skeptical. Young investors are less likely to want fund managers to advocate for ESG change. Older investors continue to value wealth preservation over advocacy. Young investors claim to be willing to lose between 1…

Congress passed the SECURE 2.0 Act just over a year ago. Here’s what takes effect in 2024 and the status of corrections, guidance, and implementation.

Global Pension Finance Watch, published quarterly, reviews how capital market performance affects defined benefit pension plan financing in major retirement markets worldwide, with a focus on linked asset/liability results. We cover defined benefit pension plans in Brazil, Canada, the Eurozone, Japan, Switzerland, the U.K.…

This database of compensation for Texas state employees is published by The Texas Tribune, a nonprofit and nonpartisan news organization. We publish this information because we believe that disclosing how tax dollars are spent is in the public interest.

Ezra Penland’s Actuarial Recruitment survey offers in-depth insight into a wide variety of actuarial employment roles and which cover a broad range of remuneration packages.

Participant outcomes remain strong despite an uncertain economic environment in 2023, as plan sponsors continue to implement automatic solutions. How America Saves 2024, the 23rd edition of our annual analysis of retirement saving behavior, will explore this and other trends.

Employees’ Retirement System Of Rhode Island: Examination Of Turnover Trends Since Retirement Reforms finds shifting employees in ERSRI from defined benefit pensions to a hybrid retirement plan is causing demonstrable changes in public employee attrition. The data specific to state employees, municipal general employees,…