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“Since August, credit yields have risen sharply amid the global bond market sell-off,” Gheedia said.
“Higher yields should be a relief for pan-European companies struggling with pension deficits as a result of low interest rates, and we expect a reversal in the pension liability trend as yields climb back up to pre-Brexit levels.”
UK 10-year government bond yields have risen from an all-time low of 0.518% in mid-August to 1.335% on 4 January.
BNP Paribas strategists have predicted a continued rise towards 2.15%, which Gheedia said should push corporate bond yields higher.
“This could drive a substantial reduction in the pension deficit reported by companies during the latest earning season,” he said.
Gheedia reported that the stocks were valued at “near three-year low levels”.
A number of reports in recent years have sought to highlight the danger to shareholders posed by sponsors’ obligations to large pension funds.
The study said: “The implication is that reported pension liabilities are regarded by markets as being systematically undervalued; that markets give larger weight to pension liabilities than to pension assets; and/or that a higher level of liabilities is viewed as representing a higher risk.”