Milliman analysis: Public pension funded ratio rebounds to 87.6% as April gains erase March losses

Milliman PPFI plans see aggregate returns of 4.7% during April

SEATTLE--(BUSINESS WIRE)--Milliman, Inc., a premier global consulting and actuarial firm, today released the latest results of its monthly Public Pension Funding Index (PPFI), which analyzes data from the nation’s 100 largest public defined benefit plans.

The funded status of the Milliman PPFI plans improved by $266 billion during April, driven by estimated aggregate investment returns of 4.7% for the period. This lifted the plans’ funded ratio to 87.6% as of April 30—in stark contrast to the 83.7% seen at the end of March and even surpassing the 87.0% observed as of February 28. Individual plan returns ranged from 1.6% to 7.7%.

During April, PPFI plan assets increased by $291 billion, to $6.009 trillion, while the total pension liability rose modestly, to $6.860 trillion from $6.843 trillion as of March 31. The deficit between estimated plan assets and liabilities narrowed from $1.117 trillion to $851 billion during the period.

“Thanks to April’s rebound, nearly half of the 100 largest public pension plans are now more than 90% funded,” said Ryan Falls, co-author of the Milliman PPFI. “While volatility remains a factor, the number of plans less than 60% funded has held steady at 11, reflecting the underlying resilience of the public pension system.”

Read this month’s complete Public Pension Funding Index or Milliman’s full range of annual Pension Funding Studies. To receive regular updates of Milliman’s pension funding analysis, contact us at pensionfunding@milliman.com.

About Milliman

Milliman leverages deep expertise, actuarial rigor, and advanced technology to develop solutions for a world at risk. We help clients in the public and private sectors navigate urgent, complex challenges—from extreme weather and market volatility to financial insecurity and rising health costs—so they can meet their business, financial, and social objectives. Our solutions encompass insurance, financial services, healthcare, life sciences, and employee benefits. Founded in 1947, Milliman is an independent firm with offices in major cities around the globe. Visit us at milliman.com.

Ryan Falls
Milliman, Inc.
Tel: +1 214 863 5635
ryan.falls@milliman.com