Canadian defined benefit pension plans' funded positions decreased in Q1, reaching 111.4 percent: Aon

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Canadian defined benefit pension plans' funded positions decreased in Q1, reaching 111.4 percent: Aon

Canada NewsWire

TORONTO, April 1, 2026 /CNW/ -- Aon plc (NYSE: AON), a leading global professional services firm, announced today that the aggregate funded ratio for Canadian pension plans in the S&P/TSX Composite Index decreased to 111.4 percent compared to 112.6 percent at the end of last quarter, according to the Aon Pension Risk Tracker. At the same date last year, it was 105.5 percent.

The Aon Pension Risk Tracker calculates the aggregate funded position on an accounting basis for companies in the S&P/TSX Composite Index with defined benefit plans. To access Aon's interactive tracker, which has been tracking this data since 2013, click here.

Key findings for the quarter ending March 31, 2026 include:

  • Pension assets decreased 0.9 percent over the first quarter of 2026.
  • The long-term Government of Canada bond yield increased three basis points (bps) relative to the previous quarter rate, and credit spreads widened by six bps. This combination resulted in an increase in discount rate of nine basis points, to 4.78 percent.

"The first quarter of 2026 was volatile, with strong equity returns in January and February, followed by declines in March amid the geopolitical context," said Nathan LaPierre, partner for Wealth Solutions in Canada for Aon. "Despite this environment, funded positions remained relatively stable with only one percent decline. However, as uncertainty might continue into 2026, plan sponsors should continue to look for strategies that will provide better outcomes."

About Aon
Aon plc (NYSE: AON) exists to shape decisions for the better — to protect and enrich the lives of people around the world. Through actionable analytic insight, globally integrated Risk Capital and Human Capital expertise, and locally relevant solutions, our colleagues provide clients in over 120 countries with the clarity and confidence to make better risk and people decisions that protect and grow their businesses.

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Media Contact
Alexandre Daudelin
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Aon plc (NYSE: AON) exists to shape decisions for the better — to protect and enrich the lives of people around the world. Through actionable analytic insight, globally integrated Risk Capital and Human Capital expertise, and locally relevant solutions, our colleagues in over 120 countries provide our clients with the clarity and confidence to make better risk and people decisions that protect and grow their businesses.

 

Follow Aon on LinkedIn, X, Facebook and Instagram. Stay up-to-date by visiting Aon’s newsroom and sign up for news alerts here. (PRNewsfoto/Aon plc)

SOURCE Aon plc