Company: IR
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001628280-25-006391
Chunk: 90

Company: Ingersoll Rand Inc.
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 90
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 the estimated benefit payments for the next five years and for the years 2030 through 2034. The estimated benefit payments for the non-U.S. pension plans were calculated using foreign exchange rates as of December 31, 2024.Pension BenefitsOther Postretirement BenefitsU.S. PlansNon-U.S. Plans2025$26.4 $14.7 $2.4 202625.1 14.9 0.4 202724.9 14.5 0.4 202823.9 15.1 0.3 202923.4 17.1 0.3 Aggregate 2030-203498.3 86.0 1.3 In 2025, the Company expects to contribute $5.2 million to the U.S. pension plans, $7.3 million to the non-U.S. pension plans, and $2.4 million to the other postretirement benefit plans.Plan Asset Investment StrategyThe Company’s overall investment strategy and objectives for its pension plan assets is to (i) meet current and future benefit payment needs through diversification across asset classes, investing strategies and investment managers to achieve an optimal balance between risk and return and between income and growth of assets through capital appreciation, (ii) secure participant retirement benefits, (iii) minimize reliance on contributions as a source of benefit security, and (iv) maintain sufficient liquidity to pay benefit obligations and proper expenses. The composition of the actual investments in various securities changes over time based on short and long-term investment opportunities. None of the plan assets of Ingersoll Rand’s defined benefit plans are invested in the Company’s common stock. The Company uses both active and passive investment strategies.Plan Asset Risk ManagementThe target financial objectives for the pension plans are established in conjunction with periodic comprehensive reviews of each plan’s liability structure. The Company’s asset allocation policy is based on detailed asset and liability model (“ALM”) analyses. A formal ALM study of each major plan is undertaken every 2-5 years or whenever there has been a material change in plan demographics, benefit structure, or funded status. In order to determine the recommended asset allocation, the advisors model varying return and risk levels for different theoretical portfolios, using a relative measure of excess return over treasury bills, divided by the standard deviation of the return (the “Sharpe Ratio”). The Sharpe Ratio for different portfolio options was used to compare each portfolio’s potential return, on a risk-adjusted basis