Filed Under:Markets, Employee Benefits

Low-interest rates continue to pummel DB plans

Federal Reserve Chairman Ben Bernanke has indicated that he will continue to keep interest rates low to boost the U.S. economy. (AP Photo/Manuel Balce Ceneta)
Federal Reserve Chairman Ben Bernanke has indicated that he will continue to keep interest rates low to boost the U.S. economy. (AP Photo/Manuel Balce Ceneta)

The not-so-welcome trend of low interest rates continuing to liquidate the funded status of the nation's defined-benefit plans seems unlikely to end, according to experts with Vanguard.

The first big drop in funded status took place a year ago when corporate bond interest rates began to head south, and have continued to stay at historically low levels.

Originally published on BenefitsPro. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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Nichole Morford

Nichole Morford
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