WHILE MOST CORPORATIONS’ 10-K FILINGS WILL NOT BE AVAILABLE UNTIL LATE FEBRUARY, WE ANALYZED PRELIMINARY DATA ON PENSION PLANS THAT HAVE FISCAL YEAR ENDS BETWEEN JUNE 30, 2018 AND OCTOBER 31, 2018.
Transient market volatility has the potential to be thrilling
Market participants remain focused on downside risks, leading pessimism, rather than optimism, to permeate the investment landscape
Due to a decrease in rates, funded status fell 2.7% this month from 88.1% to 85.4%.
Due to interest rates and growth assets, funded status fell 3.5% this month from 91% to 87.5%.
Funded status rose 1.9% this month due to interest rates and growth assets.
Due to hedge portfolios and growth assets, funded status fell .4% this month from 88.5% to 88.1%.
Due to a 30 bps decrease in discount rates, funded status fell 1.3% this month from 90.4% to 89.1%
Due to hedge portfolios and growth assets, funded status rose 1% this month from 87.5% to 88.5%.
This month marks the largest monthly funded status decrease since January 2016.