February 2024

US. Public retirement systems’ investment management expenses dip to 4-year low

Public retirement systems saw their investment management expenses drop significantly in fiscal 2023 from the prior year, reaching a four-year low, according to an annual study by the National Conference on Public Employee Retirement Systems. In fiscal 2023, surveyed retirement systems averaged investment management expenses of 39 basis points, down from 49 basis points the year before, while administrative expenses remained steady, according to the study. A Feb. 12 news release revealing the results of the study said the four-year low...

UK. DWP has ‘no plans’ to raise frozen state pension payments for 500,000 expats, minister confirms

The Department for Work and Pensions (DWP) has “no plans” to raise frozen state pension payments for 500,000 Britons living abroad, a Government minister has confirmed. Pensions minister Paul Maynard told MPs the Government will not be introducing a “change to its longstanding policy”. Pensioners who retire overseas in certain countries, including Canada and New Zealand, have their payments frozen at the rate they were paid when they left the UK. An estimated 500,000 older Britons do not receive the full state pension entitlement they...

Retirement income literacy lacking among older Americans

The American College of Financial Services has unveiled the findings from its 2023 Retirement Income Literacy Study, spotlighting a significant gap in retirement knowledge among older Americans. Drawing from a survey of more than 3,765 individuals ages 50 to 75, the study found a concerning lack of knowledge, with participants garnering an average score of 31% on a retirement literacy quiz. “In the U.S., with the exception of Social Security and the comparatively small number of workers with guaranteed pensions, saving...

UK. What can schemes do to close the gender pension gap?

Fundamental changes in society are still needed but the pensions industry appears determined to help close the yawning gap between men and women’s retirement incomes. A Pensions Policy Institute (PPI) report in partnership with NOW: Pensions estimates that a girl would need to start saving towards a pension at three to close the vast gender pensions gap between men and women. The PPI’s report, released earlier this month, revealed how by retirement age (67), women had average pension savings of £69,000 compared to...

México. Propuesta de cambios en ley de pensiones no aborda la desigualdad

La propuesta de reforma de pensiones, que presentó a inicios de mes López Obrador, no abarca uno de los retos más importantes que se tienen, que es el de la desigualdad del sistema, indicó la organización México ¿Cómo Vamos? La propuesta de reforma de pensiones, que presentó a inicios de mes el presidente Andrés Manuel López Obrador, no abarca uno de los retos más importantes que se tienen, que es el de la desigualdad del sistema, indicó la organización México...

Chile. Número de cotizantes de AFP registra caída de 158.000 al cierre de 2023 por deterioro del mercado laboral

El número de cotizantes del sistema de AFP llegó, al cierre de 2023, a 5.809.254, según cifras publicadas por la Superintendencia de Pensiones. Este dato evidencia una baja de casi 158 mil cotizantes respecto a lo registrado en diciembre de 2022. El líder de Wealth de Mercer Chile, Joaquín Ramírez señaló a DF que el total de "158.000 personas sobre un universo de casi 6 millones, no parece mucho". Sin embargo, añadió: "Estamos hablando de un 2,6% menos de personas...

Panamá. CSS: único consenso es que hay que actuar

Luego de casi 20 años de la última reforma a la seguridad social en Panamá, el mensaje de los actores involucrados es claro: No hay que perder más tiempo sin hacer nada. "No podemos seguir con esta política de echarle el problema al gobierno que sigue por hablar de un supuesto costo político", mencionó Aida Ureña de Maduro, representante del sector empresarial en la junta directiva de la Caja de Seguro Social (CSS). Para ella, quien presidió la junta directiva de la...

US. Sustainable investing has bright future, Morningstar exec says

Sustainable investing has a bright future, as younger generations and those with long-term investing goals, such as pension funds, have expressed interest in it, Morningstar Indexes' head of ESG strategy said at the Exchange ETF conference in Miami Beach, Fla., on Feb. 13. "There's no reason to expect systematic underperformance from sustainable investments, and there's some reason to believe you might be able to get some marginal long-term benefits out of it," Morningstar Indexes' Thomas Kuh said at a panel...

UK. Less than half of savers review their pensions once a year

Less than half (47 per cent) of pension savers reviewed their pension scheme in the past year, with just under a fifth (18 per cent) regularly reviewing their pension, according to research from Investec Wealth & Investment. The survey found that those aged between 55 and 64 were most likely to review their funds, with nearly two thirds (62 per cent) saying they had reviewed their pensions in the past year, while 27 per cent reviewed them regularly. Many savers are...

Ghana. SSNIT supports pensioners’ healthcare with GHC1million

The Social Security and National Insurance Trust (SSNIT) has presented a cheque for GHS 1 million to the National Pensioners Association’s (NPA) medical scheme. The contribution is in fulfilment of a commitment by SSNIT’s management made in 2017 to prioritise the well-being of pensioners under the SSNIT Scheme in the country. Dr John Ofori-Tenkorang, Director-General of SSNIT, speaking at the ceremony in Accra, reaffirmed the Trust’s support for the activities and welfare of the Association. The commitment, he stressed, demonstrated the Trust’s...