PT - JOURNAL ARTICLE AU - Rohit Mathur AU - Scott Kaplan TI - Reducing Pension Risk: <em>The Five Myths Holding Back Plan Sponsors</em> DP - 2014 Sep 21 TA - Special Issues PG - 109--124 VI - 2014 IP - 1 4099 - https://pm-research.com/content/2014/1/109.short 4100 - https://pm-research.com/content/2014/1/109.full AB - Twice in the past 13 years, America’s corporate defined benefit (DB) plan sponsors have seen their plans’ funded status deteriorate over 30% in market downturns. Pension shortfall, potential cash contributions over time, and rising stakeholder concern over financial statement volatility and reduced strategic flexibility are forcing many firms to consider strategies to reduce their exposure to pension plan risk—or, in some instances, to divest it altogether. This article explores how accounting transparency, regulatory changes, and increased scrutiny by shareholders and analysts are contributing to the trend of pension de-risking, and how finance executives’ awareness of—and interest in—pension risk management remains high. The article also identifies and dispels several myths that are precluding some plan sponsors from taking action to de-risk their plans.