General Motors Co.
General Motors Co. increased the target allocations to alternatives and equities in its U.S. pension plans and lowered fixed income, according to its 10-K filing.
Ten years after General Motors' pension buyout, corporate pension plans continue to decline but still command attention.
The historic $29 billion General Motors pension buyout deal was the culmination of decades of corporations derisking their pension funds.
GM plans to use about $600 million from the proceeds of a sale of bond notes to prefund mandatory contributions to its Canadian and U.K. pension plans.
Aon expects U.S. corporate pension plan buyout volume to total about $25 billion in 2018, similar to the previous year's total.
U.S. corporate pension plan buyouts reached $11.1 billion in the fourth quarter of 2017, with total 2017 deals reaching $23 billion.
General Motors raised the U.S. pension plans' long-term expected rate of return and announced $900 million in non-U.S. pension contributions.
More U.S. corporations than ever are offloading pension fund liabilities, and doing so more strategically.
Passive investments pull ahead of active management for the first time since P&I began tracking data from the 100 biggest corporate defined contribution plans.
The U.S. Supreme Court on Monday declined to hear an appeal by participants in two General Motors 401(k) plans who argued that the independent fiduciary for a company stock fund violated its ERISA duties.
