January 2023

U.K. pension plan sponsors might need to contribute $42 billion more – analysis

New funding rules for U.K. defined benefit plans being developed by The Pensions Regulator could potentially mean plan sponsors will need to make up to £34 billion ($42 billion) in additional contributions, according to an analysis published Monday by investment consultant Lane Clark & Peacock. The forthcoming funding rules call for pension funds to be funded on a "low dependency" basis once they are "significantly mature," without further specifics. It also calls on trustees to expect sponsors to pay down...

Financial regret at older ages and longevity awareness

By Abigail Hurwitz & Olivia S. Mitchell Older people often express regret about financial decisions made earlier in life that left them susceptible to old-age insecurity. Prior work has explored one outcome, saving regret, or peoples’ expressed wish that they had saved more earlier in life. The present paper extends attention to five additional areas regarding financial decisions, examining whether older Americans also regret not having insured better, claimed benefits and quit working too early, and becoming financially dependent on...

Expertos hablan sobre cuál es la edad ideal de retiro para Colombia

Desde la semana pasada el Gobierno Nacional empezó a mostrarles a todos los partidos, tanto los de su coalición como los de oposición, la agenda que espera tramitar en el Congreso durante la entrante legislatura. El encargado de socializar esa lista no podía ser otro que el ministro del Interior, Alfonso Prada, quien en su debut del semestre pasado logró que las mayorías que el presidente Gustavo Petro consolidó en el Congreso desde julio le aprobaran normas tan importantes como...

Pensiones dignas que siguen siendo un privilegio en RD

Es un asunto de «a falta de pan, casabe»; un fracaso sistémico del Estado y sus descentralizaciones que para desgracia de los envejecientes que arriban a retiro, no han convertido la protección a quienes finalizan su etapa laboral en un beneficio universal y vasto. Al que se llega por mandato automático del calendario. Que deje de ser lo de hoy: una conquista del Everest debida a las conexiones con el poder, al peso de los apellidos o a la apreciación...

Japan. Pension Benefits to Rise for 1st Time in 3 years

Public pension benefits will rise for the first time in three years in fiscal 2023, although at a slower pace than a major inflation rate, the Health, Labor and Welfare ministry said Friday. Benefit increases, set at 1.9% for pensioners aged 68 or over, will be limited because the ministry will activate what it calls the macroeconomic slide mechanism to curb benefit payments for the first time in three years. Japan revises the amounts of pension benefits every year to take...

Switzerland. Thousands of retired seniors falling into poverty

In Switzerland a huge wealth gap exists among retirees. While most senior citizens can comfortably make ends meet, one in five is living either below or close to the poverty line. Some 50,000 pensioners have no financial cushion to offset their low income. Bernard and Pierrette Apothéloz are both in their early 70s. With their meagre pensions and no savings or additional benefits, the couple often struggle to pay their bills. Because of their financial situation, they are unable to...

China: Unified pension management system ensures more equity

More Chinese people have access to coverage provided by the country's government-run basic old-age insurance, since the adoption of unified management of insurance funds, according to the authorities. China's basic old-age insurance covered 1.05bn people as of the end of 2022, 24.3m more than a year earlier, reported the Xinhua News Agency quoting data from the Ministry of Human Resources and Social Security. The country formally implemented the national unified management of basic old-age insurance funds for enterprise employees in January...

US. 32% of Savers Tapped Their Retirement Accounts Last Year to Cope With Inflation. That’s a Problem

Inflation surged in 2022, burdening consumers of all ages. If you took a retirement plan withdrawal to cope with inflation, it's imperative that you try to compensate this year. Motley Fool Issues Rare “All In” Buy Alert Higher living costs forced some people to resort to drastic measures. Lawmakers were generous with stimulus aid in 2021, and that helped many Americans cope with the pandemic and subsequent economic crisis. But a troubling thing happened as a result. Consumers suddenly found themselves flush with cash...

AMLO se reúne con el fondo canadiense de pensiones CDPQ tras compromiso con Trudeau

El presidente de México, Andrés Manuel López Obrador, se reunió el miércoles 18 de enero con representantes Caisse de Dépôt et Placement du Québec (CDPQ), el segundo mayor fondo de pensiones de Canadá, una semana después de su reunión bilateral con primer ministro canadiense, Justin Trudeau. CDPQ confirmó que se realizó una reunión, pero no dio más detalles El fondo de C$392.000 millones (US$290.000 millones) tenía C$6.000 millones en activos en México a fines de 2021 y se asoció con CKD...

Informalidad laboral una bomba de tiempo en el sistema de pensiones en Francia

El presidente de Francia aseguró que su propuesta de reforma al sistema de pensiones de su país es justa y responsable, Emmanuel Macron apeló al principio de solidaridad intergeneracional, trabajadores salieron a las calles a protestar, rechazan subir de 62 a 64 años la edad para jubilarse. En este marco, Santiago Levy, investigador senior del Brookings Institution y exdirector del Instituto Mexicano del Seguro Social, hace un análisis de los sistemas de pensiones y asegura que ninguno puede funcionar si...