Voya Corporate Pension Intelligence Report: 2025 Study | Voya Investment Management
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Voya Corporate Pension Intelligence Report: 2025 Study

 Time to read: Minutes
Oleg Gershkovich

Oleg Gershkovich, A.S.A., M.A.A.A.

LDI Solutions Strategist

Skyscrapers and traffic in city

Trends and key takeaways from 130 corporate defined benefit pension plans to help sponsors determine where they’re ahead of the curve–and where they’re behind it.

Executive summary

Voya’s annual pension survey looks at the defined benefit plan performance of 130 S&P 500 companies from 2007 through 2024, analyzing key characteristics such as asset allocation funded status, net asset returns versus liability returns, discount rates, expected return on assets.1 

By investigating the links between asset allocation trends, funded status improvement, contribution, service accruals, and expected versus actual return on assets, the study evaluates fixed income’s role within a liability-driven investing (LDI) strategy in mitigating funded status volatility and interest rate risk.

Key findings 

Fixed income investments have supported funding stability amid changing economic and interest rate conditions, resulting in resiliency that positioned plans well for times of volatility, such as during Covid. 

  • Funded status at the end of 2024 was 101.3%, validating the LDI approach
  • In 2007, fixed income allocation was just 33%, with plans heavily weighted toward equities
  • From 2016 to 2024, allocations to fixed income increased, reaching their peak at 51% in 2023
  • In 2007, only 3% of companies allocated 50% or more of their pension assets to fixed income
  • In 2024, 58% of companies allocated at least 50% of their assets to fixed income
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Investment Insights LDI

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1 See p. 11 of document for inclusion requirements for S&P 500 companies. Unless stated otherwise, our analysis is in the aggregate. For example, total assets and liabilities are the summation of all 130 corporations’ assets and liabilities (as if they represented one big pension plan).

Past performance is no guarantee of future results. This information is proprietary and cannot be reproduced or distributed. Certain information may be received from sources Voya Investment Management considers reliable; Voya IM does not represent that such information is accurate or complete. Certain statements contained herein may constitute “projections,” “forecasts” and other “forward-looking statements” that do not reflect actual results and are based primarily upon applying retroactively a hypothetical set of assumptions to certain historical financial data. Actual results, performance or events may differ materially from those in such statements. Any opinions, projections, forecasts and forward-looking statements presented herein are valid only as of the date of this document and are subject to change. Nothing contained herein should be construed as (i) an offer to buy any security or (ii) a recommendation as to the advisability of investing in, purchasing or selling any security. Voya IM assumes no obligation to update any forward-looking information. The opinions, views and information expressed in this presentation regarding holdings are subject to change without notice. The information provided regarding holdings is not a recommendation to buy or sell any security. Portfolio holdings are fluid and are subject to daily change based on market conditions and other factors. For qualified institutional investor use only. Not for inspection by, distribution to or quotation to the general public.

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