Funded status of Canadian DB plans increases to 112.6%, Aon reports
February 20, 2026
The aggregate funded ratio for Canadian pension plans in the S&P/TSX Composite Index increased during the fourth quarter of 2025, according to a new report from Aon.
The Aon Pension Risk Tracker, which follows Canadian pension plans in the S&P/TSX Composite Index, pegged their aggregate funded ratio at 112.6% on December 31, 2025, compared to 111.9% at the end of the previous quarter.
Aon found that pension assets increased 0.6% in the fourth quarter of the year. Meanwhile, the discount rate increased to 4.69%, up 11 basis points on the previous quarter after an 18-basis point increase to long-term Government of Canada bond yields which was offset by a 7-basis point narrowing in credit spreads.
“Pension plan performance was solid in 2025” despite heightened market volatility and uncertainty, said Nathan LaPierre, Partner, Wealth Solutions Canada at Aon.
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