By: Russ Kamp, CEO, Ryan ALM, Inc.

Good morning. One of the perks of being involved in bonds is the fact that October 12, 2026 is a federal holiday and the bond market is closed, as today you are celebrating either Columbus Day or Indigenous Peoples’ Day. Enjoy. Stock markets on the other hand remain open and they are operating on a normal schedule.

Regarding ARPA and the PBGC’s implementation of this critical pension legislation, two plans received approval for Special Financial Assistance (SFA), while another two were given permission to submit an application seeking an SFA grant.

Local 1814 Riggers Pension Plan and Pension Plan of International Union of Bricklayers and Allied Craftworkers Local #15 Pennsylvania received approval for their revised applications. Local 1814 will receive $2.9 million for its 65 members, while the Bricklayers and Craftworkers will get $6.5 million for the 165 participants in that fund.

There are now 42 applications before the PBGC, including UFCW Local 174 Commercial Pension Fund Plan and Local 87-Distributors Pension Plan, that are hoping to secure a combined $28.3 million plus interest and FA loan repayments for just over 1,300 participants.

IN the PBGC’s weekly update they did not identify any funds withdrawing or denying applications and there weren’t any funds seeking to be added to the current waitlist. The last fund being added was in August 2026.

Fortunately, U.S. interest rates remain elevated. The pension plans that have recently received or those that will soon get SFA are going to benefit from these higher levels, as the future value of benefits to be paid will be reduced significantly. We recently produced a 30-year defeasement that had a 6.5% YTM. When ARPA was first approved (March 2021), U.S. rates were at historic lows. The cost to secure those promised benefits was far greater than it is today.