(Bloomberg) -- The finances of more than two-thirds of U.S. state pension plans improved in fiscal year 2014, as a soaring stock market boosted returns and many states stopped incorporating losses from the recession into their pension calculations.

The median state pension last year had 70 % of the assets needed to meet promised benefits, up from 69.2 % in 2013, according to data compiled by Bloomberg. It was the second straight increase in pension funding. Public pensions had median investment gains of 16.9 % for the 12 months ended June 30, 2014 according to Wilshire Associates.

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