Rising equity markets boosted the funded status of typical U.S. pension plans by 2.4% in September, according to BNY Mellon Asset Management.
The Bank of New York Mellon Corp. asset management group, which tracks the health of pension plans through its BNY Mellon Pension Liability Indexes, reported that assets of a moderate-risk pension portfolio increased 2.6% in September, far outpacing the 0.2% rise in a typical plan's liabilities.
"Lower volatility and an easing Federal Reserve brought relief to the capital markets in September," Peter Austin, executive director of BNY Mellon Pension Services, said in a press release Tuesday. "Long-maturity Treasury bond yields rose slightly, but high-grade corporate bonds tightened 10 basis points."
For the year to date, the typical U.S. plan has improved its funded status by 4.6%, with moderate risk assets up 7.3% and typical pension liabilities 2.7% higher, according to the firm. The BNY Mellon Pension Liability Indexes was launched in March 2006.
BNY Mellon Asset Management is a global provider of investment management products and services, including equity fixed income, hedge and liquidity management offerings.
Parent company Bank of New York Mellon Corp, operating in 37 countries, has more than $20 trillion in assets under custody and administration, more than $1 trillion in assets under management, and services $11 trillion in outstanding debt.
