Deals and People May 3, 2013

BMO Names Retirement Unit Director

May 3, 2013 (PLANSPONSOR.com) – Frank Green was named director of strategic partnerships, retirement services, at BMO Global Asset Management.
Reported by

In this larger role, Green will develop and expand partnerships with other financial institutions, allowing them to offer additional retirement services, including recordkeeping and retirement plan administration. He will continue to report to Phil Enochs, managing director and head of relationship management at BMO Global Asset Management.

Green joined BMO in 2002 and has more than 28 years of industry experience, including senior roles at financial institutions. He holds a bachelor’s degree in accounting from St. Francis University and a master’s degree in business administration with a concentration in finance from American University.

Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.

Administration May 3, 2013

Decrease in Funded Status of Corporate Pensions

May 3, 2013 (PLANSPONSOR.com) – The funded status of the typical U.S. corporate pension plan fell during April, according to the BNY Mellon Investment Strategy and Solutions Group (ISSG).
Reported by

Specifically, the average funded status fell 1.8 percentage points in April 2013 to 80.8% as liabilities posted their sharpest gains of the year. The year-to-date funded ratio is up 4.5 percentage points.

Liabilities for the typical corporate plan rose 4%, which ISSG attributed to a decline in Aa corporate bond yields. Those yields declined 25 basis points to 3.84%. Plan liabilities are calculated using the yields of long-term investment grade bonds. Lower yields on these bonds result in higher liabilities.

For more stories like this, sign up for the PLANSPONSOR NEWSDash daily newsletter.

Assets for the typical corporate plan increased 1.7% as equity markets rallied in reaction to diminishing concerns regarding the Cyprus banking situation, according to the BNY Mellon Pension Summary Report for April 2013.

“Interest rates fell as investors expect the Federal Reserve will affirm its commitment to bond purchases in its efforts to spur the economy,” said Jeffrey B. Saef, managing director, BNY Mellon Investment Management, and head of the ISSG. “Pension plans continue to feel the effect of the Fed’s quantitative easing program, as the growth in liabilities more than doubled the growth in assets during April.”

«