Improved First Quarter Index Results

 Q1 2022 was particularly volatile, marked by rising global discount rates, generally poor asset performance, and continued inflation. The sharp increase in discount rates drove positive first quarter pension index results for all regions. Asset returns were negative for all regions except Brazil for the quarter which partially offset the liability gains. Inflationary impact were most pronounced in the UK where plans provide annual pension increases based in inflationary indicators. The overall impact of these changes resulted in positive pension index returns for all markets during the first quarter.

While it is always the case that Global Pension Finance Watch captures results at the end of each quarter, we particularly want to highlight the point in time view of this publication in light of the volatiliy. WTW supports the daily monitoring of pension funded status and other key pension financial metrics for those organizations wishing to inform key business decisions.