GLOBAL - Total assets of the world's largest 300 pension funds grew by over 14% in 2007 to around US$12trn, according to Watson Wyatt.
It said the US remained the country with the largest market share of pension funds assets, accounting for 43%, but its size had been eroded due to a weak dollar.
Japan had the second largest market share on 14%, with assets of over $1trn.
Meanwhile, the UK, the Netherlands and Canada all had the third largest market share of 6% each.
Watson Wyatt global head of investment consulting Carl Hess said: "The world's largest pension funds continue to benefit from a high profile as global demographic challenges remain front of mind.
"As a result many large pension funds have prioritised their funding arrangements, helping them to grow despite adverse market conditions in the latter part of last year."
Hess explained the persistent extreme investment conditions had also increased scrutiny on risk management as funds contemplated a new framing of risk in light of the continuing financial crisis.
The survey also showed the size of assets in North American and European funds had grown steadily over the past five years at compound growth rates of 13% and 21% respectively.
And in Australia, assets grew at the fastest rate - 27% in US dollar terms, while Canadian, Swedish and Dutch funds grew at 22%, 19% and 18% respectively.
Hess said: "Large pension funds, notably the top sovereign funds, will continue to grow and be successful if they remain adaptable and prioritise excellent governance and risk management.
"By doing so they can build long term investment frameworks that can accommodate shorter term monitoring and decision making and longer term journey planning."
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Existing master trusts will be forced to pay £41,000 when applying for authorisation under the upcoming regime, the government has confirmed.
UPDATE 2 - DWP publishes DB white paper: Stronger powers for TPR, DB chair statements to be introduced
The Pensions Regulator (TPR) will be given the power to fine company bosses who deliberately puts their defined benefit (DB) schemes at risk, the government has confirmed.