A new paradigm is unfolding in U.S. corporate pension investing. After a slow recovery in the wake of the global financial crisis, most of the largest plans have now reached full funding—and 60% of the top 100 are now overfunded. This industry-wide breakthrough has allowed sponsors to shift from recovery to innovation: Many are now applying pension surplus to fund benefit innovations, support business strategies and enable acquisitions.
Key findings:
Achieving transformation
The top 100 U.S. corporate pension plans by assets have transformed their funded status, moving from deep deficits to a 104% funded status in 2025.
Learning that surplus returns are repeatable
Over the past decade, almost all of the largest U.S. corporate plans outperformed their liabilities, demonstrating that thoughtful asset allocation and disciplined risk management can drive long-term success.
Integrating pension and corporate financial management
Contribution timing is almost as important as the amount contributed, but adding capital to pensions at advantageous moments requires corporate management to fully appreciate the benefits.
Applying surplus as a strategic asset
Pension plan surplus is not stranded; it can be used to fund new benefit designs, support business strategy, enable M&A or even rescue a sponsor in distress.
Further reading