The pace of change in the global retirement landscape shows no sign of slowing. Regulatory reform, market conditions, and technological innovation are reshaping how retirement risks are managed and how outcomes are delivered for members. In this article we highlight four key areas for global pension directors to focus on in 2026.

1. Plan Governance and Artificial Intelligence

Artificial Intelligence (AI) is turning fragmented retirement data into a single, reliable view across defined benefit (DB) and defined contribution (DC) retirement plans, and other savings and severance plans offered to employees worldwide. By consolidating benefits and policy information, AI eliminates spreadsheet sprawl, reduces administration burden, and surfaces risks early. This enables multinationals to govern globally with confidence, ensure compliance and to identify cost savings through simplification, harmonisation, and provider fee challenge.

“Managing retirement plans globally is incredibly difficult and complex. But knowledge is power. And when we have complete visibility over all our plans, governance stops being retrospective and becomes proactive. AI will not replace judgement, but it ensures we apply it to facts rather than fragments.” – John-Paul Augeri, Managing Director and Global EB Consulting Leader at MBWL International

At MBWL, we are investing in the latest AI platforms to strengthen global retirement governance for our clients. AI’s role in retirement governance will continue to scale through 2026 and beyond, delivering more robust risk management, better decisions and stronger controls for multinationals.

2. The Future of Global Retirement Strategy

Global retirement provision is experiencing rapid transformation, driven by demographic shifts, economic pressures, and technological innovation. People are living longer, healthier lives meaning retirement could span 20 to 35 years or more and require significantly larger financial provisions. Aging populations in Europe and Asia are straining public pension systems, prompting many countries to raise statutory retirement ages. Meanwhile, DC arrangements have largely replaced traditional DB plans worldwide, shifting risk to individuals. Despite the wide range of potential retirement solutions worldwide, there is no “silver bullet” that guarantees sustainable and sufficient retirement income.

Employers must navigate persistent affordability challenges, widening wealth gaps, and limited access to high-quality retirement plans. At our client event in November 2024 with OECD experts, discussions on best practices for future DC pension provision included: default pathways to lifetime income, limits on large lump sum withdrawals, and the importance of clear, transparent communication. Systemic reform in countries like the Netherlands highlights the need for robust planning and member engagement as retirement frameworks continue to evolve.

With regulatory complexity and uncertain markets adding further strain, now is the time for employers to review their global retirement strategy ensuring they can effectively manage their global workforce and support employees’ financial security in a changing world.

3. Evolving Pension Risk Transfer Solutions

Rising bond yields and positive equity market returns in major economies led to improved net balance sheet positions for many DB pension plans at the end of 2025. Improvements in funding positions over recent years have led many multinationals to accelerate efforts to remove DB pension risk from their corporate balance sheets through pension risk transfers. We expect this trend to continue worldwide in 2026, driven by not only favourable market conditions but also by increased insurer competition and a growing range of de‑risking solutions in an increasing number of countries around the world.

For example, the UK’s DB pension superfund market is now gaining traction as a credible alternative to traditional insurance buyouts supported by clearer regulation, an emerging track record of transactions and new market entrants. Superfunds typically offer risk transfer pricing at 5% to 10% lower than insurance buyout pricing, providing an opportunity for sponsoring employers to remove ongoing DB pension cost and risk at a competitive price. Innovations such as ‘connected covenant’ structures and increased competition, are broadening the appeal of superfunds. For DB pension plans still underfunded on a buyout basis, exploring superfund feasibility now could unlock significant cost and risk reduction opportunities as part of endgame planning.

“All signs are pointing towards the superfund market becoming an established risk transfer option for UK DB pension plans.” – Lewys Curteis, Partner at Barnett Waddingham

Pension risk transfer in Germany has attracted significant interest in recent years, particularly with M&A activities and corporate restructuring programs where pension liabilities can often present significant challenges. Although the Germany pension risk transfer market is largely unregulated, it offers a high degree of flexibility in how the transactions can be structured, making it an appealing option for multinationals seeking de-risking solutions.

In our November webinar, our experts covered the latest trends, options and opportunities across some of the key pension risk transfer markets, the differences between them, and practical steps for corporates considering a pension risk transaction. Taking a disciplined, market aware approach helps organisations identify opportunities, avoid execution pitfalls, and achieve outcomes aligned with corporate and member objectives.

4. A Disciplined Global Pension Accounting Approach

The accounting approach used to measure and report DB obligations is often as important as investment and funding strategy or plan design. Adopting a disciplined, global pension accounting approach ensures correct compliance with global accounting standards and withstands increasing auditor scrutiny. Furthermore, it can help identify unnecessarily prudent assumptions and valuation approaches to prevent overstating pension liabilities, as well as materially cut management and audit effort while improving transparency and control across jurisdictions.

In addition, due to favourable market conditions, many funded DB pension plans are experiencing surpluses. Understanding the right to access pension surpluses is essential for determining the appropriate accounting treatment as well as deciding how best to use these funds in the future, whether through employer refunds or enhancing member benefits.

Our latest Global Pension Accounting Snapshot at 31 December 2025 sets out key pension accounting issues in major DB pension markets globally as well as indicative IAS19 and US GAAP discount rate ranges.

Next steps

As we start 2026, take a moment to identify which actions can add most value as part of your global pension strategy, and leave you better positioned to manage costs, risks, and deliver better outcomes for your pension plan members.