Global pension assets rise by nearly 10%, reaching new high

• Global pension assets grew to USD 68.3 trillion, rising by almost 10% over the year
• DC assets alone grew 9.4% pa in the last 10 years
• Canada now the second largest pension market, as Japan and the UK trail behind

LONDON, February 9, 2026 – Rising by 9.6% year-on-year, global pensions assets reached a record USD 68.3 trillion in 2025 as defined contribution (DC) savings continued to drive growth, according to the Thinking Ahead Institute’s (TAI) latest Global Pension Assets Study.

2025 showed sustained recovery across global markets with strong investor sentiment and relatively contained volatility, culminating in the creation of USD 6.0 trillion of pension asset value.

Of the top seven global pensions markets – Australia, Canada, Japan, Netherlands, Switzerland, UK, US – DC now forms 63% of all assets, with Australia and the US strongly skewing towards DC asset allocation at 90% and 72% respectively, followed closely by Canada at 44%.

Over the past 10 years, the three predominantly DC markets have seen above average growth, as Australia grew by 6.6% pa, the US by 7.7% pa, and Canada by 5.3% pa. Looking at other countries in the wider Top 22 pensions markets, South Korea, Switzerland and Hong Kong all grew by more than 8% pa over the past decade.

The US remains the largest single pensions market, now forming 66% of the Top 22 globally. Canada has now overtaken Japan for the first time to become the second largest pensions market, due to strong 12% year-on-year growth.

Conversely, the UK saw weak growth of only 1.4% pa over the last 10 years in USD terms. As of 2025, it has the lowest compound annual growth rate of all 22 major markets, bar Brazil. Consequently, having been the second largest pension market in 2015, the UK has now fallen to fourth place in the rankings.

A key driver of this trend is that the UK pension market is going through a structural shift, with DB schemes maturing, paying out benefits, and de-risking, while DC continues to expand. DC now represents around 40% of UK pension assets, up from 18% in 2020.

Looking at the seven largest pensions markets, over last 20 years, overall allocation to equities has fallen nine percentage points (pp) to 48% of total assets, while bonds and other asset classes are up 3pp and 6pp respectively to 31% and 19% of total assets. Aggregate asset allocation now more closely resembles that of 15 years ago.

Jessica Gao, director at the Thinking Ahead Institute said:

“2025 saw broad-based gains across global markets, with most major asset classes delivering positive returns. Equities performed especially well, while fixed income also posted gains in light of global rate cuts and narrowing credit spreads.

“Looking ahead, the 2026 outlook is likely to be shaped by policy decisions, technological innovation and shifting global dynamics. Fiscal support and AI-related investment should remain important growth drivers. Inflation trends and central bank actions will be key, particularly in the US, where strong capital spending and supportive fiscal policy may continue to support growth and keep yields relatively elevated.

“Now more than ever, adopting a ‘Total Portfolio Approach’ matters because the investment environment is more uncertain, complex and interdependent than the governance models that many funds have relied on. Rapid technological change as well as more prominent political and systemic risks demand frameworks that can operate with less certainty and weaker model stability. TPA addresses this by enabling faster, more coordinated decisions supported by better data, technology and an organisation-wide perspective.”

Notes to editors

• The P22 refers to the 22 largest pension markets included in the study which are Australia, Brazil, Canada, Chile, China, Finland, France, Germany, Hong Kong, India, Ireland, Italy, Japan, Malaysia, Mexico, Netherlands, South Africa, South Korea, Spain, Switzerland, UK, and US
• The P7 refers to the seven largest pension markets (91% of total assets in the study): Australia, Canada, Japan, Netherlands, Switzerland, UK, and US.
• All figures are rounded and 2025 figures are estimates.
• All dates refer to the calendar end of that year.

About the Thinking Ahead Institute at WTW

The Thinking Ahead Institute is a global not-for-profit investment research and innovation network dedicated to helping investors navigate the future. Bringing together leading asset owners, asset managers, wealth providers and strategic partners, the Institute drives innovation through collaborative research and practical solutions. Since its founding in 2015, the Institute has convened more than 100 organizations to collaboratively design fit-for-purpose investment strategies, improve organizational effectiveness, and strengthen stakeholder trust. Learn more about how the Thinking Ahead Institute can support your organization at Thinking Ahead Institute.

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