The Eurozone saw the strongest improvement, driven by rising discount rates and positive equity returns. Switzerland and the UK also posted solid gains, as reductions in liabilities outweighed weaker asset performance. Brazil and Canada experienced more modest increases, supported by broadly positive asset returns. In contrast, the U.S. saw the largest decline, with falling discount rates driving up liabilities despite mixed asset performance. Japan also recorded a slight drop in the index, reflecting negative asset returns partially offset by lower liabilities.
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. and the U.S. Specific plan results will vary, often substantially, based on liability characteristics, contribution policy, portfolio composition and management strategy among other factors. The passage of time since quarter end, may also have a significant impact on pension plan financing.
The impact of capital markets on these pension plans is twofold:
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| Title | File Type | File Size |
|---|---|---|
| Global Pension Finance Watch – First Quarter 2025 | .8 MB |
