May 2024
02May

US. The Longevity Question

In his annual letter, BlackRock CEO Larry Fink stressed the need to find solutions to the concerns Americans face when they plan for retirement. “We focus a tremendous amount of energy on helping people live longer lives. But not even a fraction of that effort is spent helping people afford those extra years,” Fink wrote. Most public pension funds in the U.S. are underfunded, according to research from the Equable Institute, which released a  State of Pensions 2023 report that...

May 2, 2024
News,
Read more...
02May

UK. Seeing the wood for the trees: reinjecting meaning into sustainability reporting

IGG’s Tegs Harding takes a holistic view of sustainability reporting, incorporating nature-based and social factors as well as established climate issues. Step by step, we are seeing more people realise the power pensions have to play an integral role in securing a more sustainable future. Trustees are central to this by meeting their fiduciary duties towards members, including reporting and administrative requirements. Trustees of defined contribution (DC) schemes are responsible for ensuring their members get the best retirement outcome they can, which...

May 2, 2024
News, ,
Read more...
02May

Developing Asia and the Pacific Unprepared for Challenges of Aging Population

Developing Asia and the Pacific is unprepared to secure the well-being of its rapidly aging population as the growing share of older people in the region face challenges from low pension coverage to health problems, social isolation, and limited access to essential services. While longer lifespans reflect the region’s development success, comprehensive policy reforms are urgently needed to support the welfare of older people, according to Aging Well in Asia: Asian Development Policy Report, released today by the Asian Development Bank...

May 2, 2024
News,
Read more...
02May

The Retirement Labyrinth: Navigating Challenges for Gen X and Y

For many, the road to retirement is paved with uncertainties. This is particularly true for Generations X and Y. Caught between the Boomer behemoth and the enigmatic Zoomers — these generations face unique challenges. In contrast to their predecessors who rode the wave of economic prosperity, Gen X and Y encounter choppy waters: stagnant wages, rising healthcare costs, and unstable job markets. This blog post, however, delves into the specific challenges these generations face and offers practical strategies for navigating toward financial security. The Generation X...

May 2, 2024
News, ,
Read more...

April 2024
30Apr

UK. People’s Pension ramps up ESG expectations of asset managers

The People's Pension, Crawley, England, is expecting more from its asset managers when it comes to responsible investment. The £26 billion ($32 billion) multiemployer defined contribution plan said in an April 29 statement on its new responsible investment policy that at a minimum, fund managers are expected to have a commitment to net zero and adequate resources committed to stewardship. Failing to do so could trigger a review and possible transfer of assets to other managers, the U.K. master trust...

April 30, 2024
News,
Read more...
30Apr

Czechs approve raising retirement age to help future budgets

The Czech government approved changes to the country's pension system on Tuesday, raising retirement ages and lowering pensions for future retirees as it aims to save the system billions of dollars per year. The reform builds in gradual shifts in the retirement age, delaying retirement by seven months for people who are now 52, compared to the current retirement age of 65, according to plans. It also lowers pensions calculated for future retirees by about 8% compared with the current...

April 30, 2024
News, ,
Read more...
30Apr

UK. ‘Shocking’ tech leaves pensions industry in precarious position

The pensions industry has built up a ‘technical debt’ that must be addressed if it is to engage and educate savers, experts have warned. Delegates at the Pensions Administration Standards Association (Pasa) conference in the City of London were told pensions technology was at least “10 years behind” other industries. Paul Sturgess, director of Pasa said: “I fear that the time frame [for keeping up with available technology in other industries] has got bigger than the heady days of 2000.” Paul Leandro,...

April 30, 2024
News,
Read more...
30Apr

Dutch pension sector’s funding ratio improves

In the first quarter of 2024, Dutch pension funds saw their funding ratios improve relative to the previous quarter, as the increase in their liabilities was lower than the growth in their investments. Total investments increased by €35 billion to €1,599 billion, while aggregate liabilities increased by €5 billion to €1,370 billion. The funding ratio reflects a pension fund’s current financial position, expressing the ratio between investments and liabilities. The average funding ratio stands at 116.7% The Dutch pension sector’s average...

April 30, 2024
News,
Read more...
29Apr

25% of Americans over 50 don’t expect to retire. How to start saving

About a quarter of Americans above the age of 50 say they expect to never retire as the cost of living rises faster than their income, according to a new AARP study. Certified financial planner Shinobu Hindert joined NewsNation’s “Morning in America” with tips on how to plan for retirement amid rising prices. Hindert says when planning for retirement, a person should ideally have the equivalent of one year’s salary saved by the time they are 30, three times their annual salary...

April 29, 2024
News,
Read more...
29Apr

UK’s opposition Labour Party commits to triple-lock pension policy

Britain’s opposition Labour Party has committed to keeping for at least five years the so-called triple lock that guarantees rises to state pensions, if it wins the election, underscoring the importance of pensioners to the outcome of the vote. Labour have held an around 20-point lead in opinion polls over Prime Minister Rishi Sunak’s Conservative Party for the last nine months, but the one area where they tend to struggle is with voters over 65 years old. Labour leader Keir Starmer...

April 29, 2024
News, ,
Read more...