Pension Indicator Updated for October 31, 2021

Time Stand Still

By: Matthew Klein, Principal, Findley, a Division of USI

For the true rock fans in the audience, you may recognize the title as a song by Rush (RIP Neil Peart).  Although, to differ from the Rush song, I don’t get the sense many of us want to freeze this moment in time.  Much more likely we are ready to turn the page to something better. 

I chose the title because it happens to also reflect the state of affairs since my last commentary two months ago.  The returns in all of our model portfolios this month are up roughly the same amount they were down last month.  Moody’s Corporate Aa rate on August 31st was 2.73%1. On October 31st it was 2.75%.

While I would love to detail some great insight into the numbers and charts below, the reality is we are still pretty much in the same boat as we were a couple months ago.  There are many questions about the supply chain, whether COVID might spike again with the winter months ahead, and a realization that inflation might not be as transitory as many thought back in the spring.  Two months later, it doesn’t feel like we are any closer to some answers.

This is my last commentary for 2021 with our partners at Clearstead writing the December issue.  So let me be the first to wish you a happy holiday season and we’ll see each other in 2022. 

From all of us at Findley, a Division of USI, and Clearstead, we hope everyone and their families are safe and healthy. 

As always, thanks for reading, and drop us a comment on how we're doing.

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For more information on the development of the Pension Indicator, please see our Disclosure document.

Information provided in this article is general in nature, is provided for informational purposes only, and should not be construed as investment advice. Performance data represents past performance.  Past performance is not indicative of future results.

1http://credittrends.moodys.com/

Year to Date Investment Mix 
Plan TypeGrowthBalancedLDI LiteLDI
Frozen (for several years) 13.9% 10.9% 7.3% 3.1%
 Recently Frozen 14.3% 11.3% 7.7% 3.4%
 Ongoing Traditional 14.8% 11.8% 8.2% 3.9%
 Cash Balance 14.2% 11.3% 7.7% 3.4%
Month-over-Month Investment Mix 
Plan TypeGrowthBalancedLDI LiteLDI
 Frozen (for several years) 2.7% 2.3% 2.0% 1.5%
 Recently Frozen 1.9% 1.5% 1.2% 0.7%
 Ongoing Traditional 1.0% 0.6% 0.3% -0.2%
 Cash Balance 2.6% 2.3% 1.9% 1.4%
12-Month Change Investment Mix 
Plan TypeGrowthBalancedLDI LiteLDI
 Frozen (for several years) 23.5% 18.3% 13.2% 6.6%
 Recently Frozen 22.1% 17.0% 12.0% 5.5%
 Ongoing Traditional
21.0% 15.9% 10.9% 4.5%
 Cash Balance 23.7% 18.5% 13.4% 6.8%


Frozen Plan 7 31

Recently Frozen Plan 7 31

Ongoing Plan 7 31

Cash Balance 7 31

Disclosure