U.S. Corporate Pension Plans Funding Status – December 2025

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Santa Monica, Calif., January 6, 2026 - The aggregate funded ratio for U.S. corporate pension plans is estimated to have increased by 0.9 percentage points in December, ending the month at 104.3%, a 6.5 percentage point increase from December 2024, according to Wilshire, a diversified global financial services firm. Wilshire assists in providing a suite of OCIO and advisory services to some of the nation's largest retirement plans which help fund the retirement of millions of Americans.

This month's change in funded ratio can mostly be attributed to a 1.3 percentage point decrease in liability value partially offset by a 0.6 percentage point decrease in asset value. The aggregate funded ratio is estimated to have increased by 1.7% and 6.5% during the fourth quarter and over the calendar year 2025, respectively.

"Despite negative returns across most asset classes, December's funded status improved due to lower liability values. High-quality corporate bond yields, used to value corporate pension liabilities, increased by approximately 15 basis points compared to the prior month end," commented Ned McGuire, Managing Director at Wilshire. "Although the FT Wilshire 5000 Index^SM recorded its first monthly decline since April 2025 due to a late-December downturn, 2025 still marked the third consecutive year of double-digit returns for the index. The decline in liability values more than offset asset losses, resulting in an increase in the estimated funded ratio for December and keeping U.S. corporate pension plans fully funded at year-end," stated Mr. McGuire.

A 12-month review of the funded ratio follows:

* Wilshire collects updated pension data from corporations' 10-K filings as of December 31 each year. The Funded Ratio, changes in funded ratios over various periods, and the monthly changes in assets and liabilities reflect the updated data as of 12/31/2024.

The aggregate figures represent an estimate of the combined assets and liabilities of corporate pension plans sponsored by S&P 500 companies with a duration in line with the FTSE Pension Liability Index - Short. The funded ratio is based on the FTSE - Short Liability, with service cost, benefit payments and contributions in line with Wilshire's 2025 corporate funding study. The most current month-end liability growth is estimated using a FTSE Pension Liability Index - Short duration matched weighting of the Barclays Long and Intermediate Aa+ U.S. Corporate Indices.

The Data

Wilshire's practice is to collect data on U.S. pensions from 10-K filings for companies in the S&P 500 Index at fiscal year-end (FYE). All data for fiscal year 2024 is based on the 249 S&P 500 Index constituents that maintain defined benefit pension plans as of year-end 2024. The estimated monthly funded ratios are based on liabilities, service cost, benefit payments and contributions in line with Wilshire's 2025 corporate funding study.

The Assumed Asset Allocation

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About Wilshire

Wilshire is a leading global financial services firm and trusted partner to a diverse range of approximately 300 leading institutional investors and financial intermediaries.¹ Our clients rely on us to improve investment outcomes for a better future. Wilshire advises on over $1.5 trillion in assets and manages $134 billion in assets as of September 30, 2025.² Wilshire is headquartered in the United States with offices worldwide. More information on Wilshire can be found at www.wilshire.com.

¹ Includes institutional investors, financial intermediaries, and Wilshire-sponsored vehicles. Does not include individual retirement plans and retail investors via financial intermediary platforms.

² Assets under advisement refers to the total amount of assets (inclusive of assets under management) attributable to all of Wilshire's advisory relationships, including various consulting and advisory relationships for which Wilshire provides investment advisory services without engaging, on either a discretionary or non-discretionary basis, in the direct management of a client's portfolio. Assets under management refers to the amount of assets attributable to securities portfolios for which Wilshire provides discretionary and non-discretionary asset management services and is calculated differently than "regulatory assets under management."

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