Pension funds collectively manage more than US$56tn in assets, serve hundreds of millions of members worldwide, and, according to a new report, most still do not recognize the full scope of what they already do.

The International Centre for Pension Management released Social Infrastructure Blueprint: A Roadmap for Pension Funds on June 1, arguing that pension funds function as social infrastructure providers whether they acknowledge it or not.

The report said failing to recognise that role carries real institutional risk.

Gibbins said aging populations and rising inequality are straining public systems while evolving member expectations challenge existing pension models.

The blueprint gives funds “a practical, structured path to recognize that role, act on it, and measure it, without stepping outside their fiduciary mandate,” he said.

The report warned that funds operating without a social infrastructure framework risk underinvesting in member well-being, failing to communicate their broader value to policymakers, and losing the trust and legitimacy their long-term sustainability requires.

Funds that pursue social initiatives without structure, it added, risk governance gaps and exposure to the charge that social objectives are being pursued at the expense of fiduciary duty.

The Blueprint organizes its framework into three steps.

The first, “Understand and Articulate,” asks funds to recognize and communicate the broader benefits they already deliver beyond financial security — poverty reduction, improved health outcomes, social cohesion, and intergenerational stability.

The second, “Take Action,” covers impact investing, extended member services, and member engagement.

The third, “Measure Impact,” calls on funds to quantify and communicate social value using tools such as Social Return on Investment, well-being valuation, and Theory of Change frameworks.

The first and third steps apply universally and require no significant capital deployment; the second is contextual, shaped by fund size, legal frameworks, member demographics, and governance structures.

The report cited macro-level pressures underpinning the framework’s urgency.

The UN projects the global population aged 65 and over will more than double by 2050, reaching 1.6 billion people.

The Global Infrastructure Hub estimates a global infrastructure investment gap of US$15tn by 2040, with healthcare, education, and housing among the most underfunded categories.

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