The funding ratio at the typical U.S. corporate pension plan fell 3.7% last month as stocks had their worst month since 1987, according to BNY Mellon Asset Management.

For the first 10 months of the year the typical plan's funding ratio declined about 7.7%, the Bank of New York Mellon Corp. unit said last week.

"Renewed recession fears weakened an already fragile market, as the value of the assets in a moderate-risk portfolio declined 11.8 percentage points in October," Peter Austin, the executive director of BNY Mellon Pension Services, said in a press release. "The impact of this dramatic drop in asset values was partially offset by a 7.3% drop in typical plan liabilities, as the Pension Protection Act average discount rates rose 76 basis points."

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