The Financial Services Regulatory Authority of Ontario has published its Q1 2026 solvency report for Ontario defined benefit pension plans, showing a median solvency ratio of 122 per cent for the period from 1 January to 31 March 2026. That was down two percentage points from the previous quarter, with the report linking the decline to economic uncertainty associated with inflation, geopolitical risks and slower global growth. The update indicates that overall solvency levels remain strong, but funding positions remain sensitive to changes in investment performance and interest rates. FSRA highlighted the need for a proactive, forward-looking approach to risk management, including stress testing, modelling and other analytical tools to assess potential risks and support long-term financial stability.
Financial Services Regulatory Authority of Ontario 2026-05-14
Financial Services Regulatory Authority of Ontario reports Ontario defined benefit pension plan median solvency ratio fell to 122 per cent in Q1 2026
The Financial Services Regulatory Authority of Ontario published its Q1 2026 solvency report for Ontario defined benefit pension plans, reporting a median solvency ratio of 122 per cent, down two points from the previous quarter due to economic uncertainty. The authority noted that overall solvency remains strong but funding positions are sensitive to investment and interest rate changes, and it urged more proactive, forward-looking risk management using stress testing and other analytical tools.