The US pension risk transfer market delivered just $11.5bn in total premium in the first half of 2025, but two transactions above $1bn in the third quarter means that Q3 alone could end up adding $9bn to that number, according to Legal & General Retirement America’s Q3 2025 US PRT Monitor.
L&G’s third quarter estimate of $9bn is a decrease from Q3 2024 but a significant increase over the prior quarter as overall activity continues to rebound stateside.
“The first three quarters of the year may have been slower than last, but the fourth quarter is coming in strong with a significant rebound in anticipated volume. We estimate the year to finish between $45–$50bnwith Q4 projected to be among the largest quarters to date at an estimated $29bn, setting the stage for the second half of 2025 to be one of the largest on record,” says L&G.
The average pension funding ratio in the US remains above 100% and was reported at 105.2% in November, according to L&G Asset Management, America’s Pension Solutions Monitor.