The assets of the Netherlands Plan are primarily invested in funds-of-funds where each fund holds a portfolio of equity and fixed income mutual funds. To develop our expected rate of return assumption, we use long-term historical return information for our targeted asset mix and current market conditions as of the measurement date. The expected return for each asset class is weighted based on the target asset allocation to develop the expected long-term rate of return on plan assets assumption. The following table sets forth by level, within the fair value hierarchy, the Netherlands Plan assets at their fair value as of May 31, 2026: | | | | | | | | | | | | Level 2(1) | | Level 3(2) | | Total | Funds-of-funds | | $ | 42.1 | | $ | — | | $ | 42.1 | Insurance annuities | | | — | | | 11.6 | | | 11.6 | | | $ | 42.1 | | $ | 11.6 | | $ | 53.7 |
The following table sets forth by level, within the fair value hierarchy, the Netherlands Plan assets at their fair value as of May 31, 2025: | | | | | | | | | | | | Level 2(1) | | Level 3(2) | | Total | Funds-of-funds | | $ | 42.2 | | $ | — | | $ | 42.2 | Insurance annuities | | | — | | | 11.4 | | | 11.4 | | | $ | 42.2 | | $ | 11.4 | | $ | 53.6 |
| (1) | Inputs other than quoted prices in active markets for identical assets that are directly observable for the asset or indirectly observable through corroboration with observable market data. |
| (2) | Unobservable inputs, such as internally developed pricing models or third party valuations for the asset due to little or no market activity for the asset. |
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