Meketa Connectives: Your plan is 100% funded, now what?

July 2023

For well over a decade, low fixed income yields have suppressed discount rates and increased the value of liabilities on an accounting basis. As the Federal Reserve hikes interest rates to fight inflation, the corporate discount rate has started to rise.

As a result, plans are finding that their funded status has improved on an accounting basis, which in turn broadens the range of options available to them.