Assets were down 1% during the month and rose 2.9% for the year ended Oct. 31, to £1.75 trillion.
Liabilities decreased 0.8% over the month and increased 8% for the year, to £1.92 trillion.
The FTSE All-Share index was down 3.8% for the month and fell 18.6% for the year ended Oct. 31, the PPF said. Five- to 15-year index-linked gilt yields increased 3 basis points in October but declined 37 basis points over the year.
As of Oct. 31, 66.7% of the 5,422 pension funds covered by the index were in deficit, compared with 64.2% as of Sept. 30. A year ago, 60.6% of the 5,422 pension funds were in deficit.
Commenting on the latest figures, Sion Cole, head of U.K. fiduciary business at BlackRock, said: "October saw, once again, an increase in levels of global uncertainty as a resurgence of COVID-19 cases and the upcoming U.S. election weighed on markets. In some good news for pension schemes this year, they appeared to weather the storm fairly well with funding levels broadly flat, with the PPF 7800 index down 0.2% to finish the month at 91.2%."
Mr. Cole said that offsetting negative returns from risk assets were falling liability values due to an increase in gilt yields. He added that 20-year gilt yields ended the month around 0.05% up, while 10-year and 30-year yields were up 0.04% and 0.07%, respectively.