August 2024
01Aug

The Time is Right for a National Retirement Savings Plan

Experts on retirement saving have plenty of assorted ideas for making 401(k) plans work better. But most agree on the top priority: get them into the hands of more people. Only about half of private-sector US workers are covered by an employer-sponsored retirement savings plan at any given time—and that figure hasn’t budged much over the years. The lost opportunity to save at the workplace translates into far too many people retiring with paltry savings or none at all, leaving them reliant...

August 1, 2024
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01Aug

UK. Savers warned of pensions impact on deforestation in Jane Goodall ad campaign

Jane Goodall and Genesis frontman Peter Gabriel have joined forces for a new ad campaign that warns UK savers of their pension investments’ hidden impact on global forests. The “Saving Jane” advert released on Wednesday shows an animated version of the zoologist saving up money in a pension pot to visit a tropical rainforest in Sumatra, Indonesia, only to discover the money was invested in companies destroying the natural world she wanted to protect. The film, which features a re-recording of...

August 1, 2024
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01Aug

Funding ratios of German corporate schemes hit unprecedented level

The funding ratios of pension schemes of German companies listed on the DAX and MDAX indices have climbed to an unprecedented level in the first half of this year, according to the latest Pension Finance Watch published by WTW. The funding ratio of pension plans of the largest firms listed on the DAX index improved to 84% in H1 2024, up from 79.1% at the end of 2023, WTW’s figures show. The funding ratio of pension plans of companies listed on...

August 1, 2024
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July 2024
31Jul

US. The ‘Three-Legged Stool’ of Retirement Is Missing a Leg

Once, the tale goes, American workers relied upon a three-legged stool for their retirement income: 1) Social Security, 2) pensions, and 3) personal savings. That metaphor was always rickety, as even at their peak pensions covered less than half of private-sector workers. Today, that figure is 15%. (Government employees are another matter, although those with college educations pay for the pension privilege by receiving lower ongoing wages.) To switch analogies, the middle ground is vacant. Social Security provides subsistence for retirees, while personal savings contribute...

July 31, 2024
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31Jul

Pension funds target index providers as UK relaxes listing rules

A group of UK pension schemes are engaging index providers on their inclusion rules following recent listing changes in the UK.  This month, the Financial Conduct Authority (FCA) confirmed reforms to the UK’s listing regime in a bid to encourage more companies to list.   The new rules will merge the premium and standard segments on the London Stock Exchange into a new single segment, meaning firms choosing to IPO in the UK will have more flexibility to adopt dual-class share structures. Leading up and in...

July 31, 2024
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31Jul

Easing Sri Lanka’s Fiscal Burden. Who Needs a State Pension?

The recent economic crisis has highlighted the need to address weaknesses in Sri Lanka’s economic policies forlong-term structural change. One significant issue is the financial burden of public sector pensions. The Public Services Pensions (PSP) is the largest pension scheme for permanent public sector employees in Sri Lanka. However, its non-contributory nature has become a critical burden on the country, wherein pension benefits are funded directly from government revenue, supported by general taxation. With around 700,000 public sector pensioners,this...

July 31, 2024
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31Jul

Kenya. Court Rules Retired Governors Not Eligible for Pension Benefits

Governors suffered a blow after the court ruled in favour of the Salaries and Remuneration Commission (SRC), in a case filed by the Council of Governors (CoG) over a pension row. The High Court ruled that retiring governors and deputy governors at the county level are not entitled to a Defined Benefit Pension Scheme similar to one enjoyed by State officers at the national government level. This judgement follows a petition that had been filed by the Council of Governors (COG) against the...

July 31, 2024
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30Jul

Scammers are targetting older americans and their retirement savings

For nearly three months, Barry Heitin, a 76-year-old retired lawyer, thought he was part of a government investigation that felt like something out of the movies. He was actually assisting criminals in stealing hundreds of thousands of dollars — of his own money. Last fall, he spent just about every weekday doing the legwork and making withdrawals from his bank accounts as part of an intricate scam: He believed he was helping the feds safeguard his money and catch thieves...

July 30, 2024
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30Jul

New superfund guidance reshapes UK pension management

The UK’s Pensions Regulator (TPR) has unveiled updated guidance for superfunds, introducing pivotal changes that accountants and financial planners must heed. The guidance, released on Friday, marks a significant shift in TPR’s approach to capital release and scheme management, potentially unleashing a wave of innovation in the pensions market. At the heart of the update is a change to capital release rules. Previously restricted to benefit buyout scenarios, superfunds can now release capital up to twice yearly, subject to meeting specific triggers and...

July 30, 2024
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30Jul

US. Michigan joins Wisconsin pension fund with bitcoin investment

When the Securities and Exchange Commission approved bitcoin exchange-traded funds, one of the questions after the approval was whether institutional investors would now be more comfortable investing in the cryptocurrency using those vehicles. It joins its neighboring swing-state retirement fund in investing in the cryptocurrency. The State of Wisconsin Investment Board previously has shown up in the top shareholder lists for the iShares Bitcoin Trust and the Grayscale Bitcoin Trust . The Jersey City, N.J., pension fund is looking to invest...

July 30, 2024
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