April 2021

Europe’s New ESG Rules Create an Opportunity for US Investors

By Hari Bhambra American asset managers with little connection to Europe might dismiss the European Union (EU)’s new sustainable finance regulations as irrelevant to their business. They would be mistaken to do so, however. The regulations will have a tremendous impact on asset managers and firms operating outside the bloc. The EU might be the first to move on sustainable finance regulations, but its objectives are a harbinger of things to come around the globe. To stay competitive in today’s borderless financial...

March 2021

What Is The Pension Provision In The Stimulus Package? An Explainer

By Teresa Ghilarducci Included in the $1.9 trillion stimulus bill signed by President Biden on Thursday is an $86 billion aid package for participants of about 185 to over 300 employer-union pension plans. If aid had not been available more than a million retired retail clerks, candy makers, truck drivers, construction workers and others would have faced severe cuts in their pensions. These plans are part of a larger system of about 1500 multiemployer pension plans covering about 10 million workers. These plans...

Responsible investing in different cultural contexts – Latin America

By Daniela Laurel Last week, we began with an investigation of how different geographies are engaged in Responsible Investment and Sustainable Finance practice. We kicked off with Europe and North America and today we continue with this series, focusing on Latin America before moving on to Africa and then ending with Asia Pacific. Reiterating an earlier caveat, we cannot generalize how an entire nation or population behaves and simply try our best to spot some cultural trends that stand out...

Regulation and economics converge in ESG

By Sarah Rundell Investors from Schroders, Trillium and PensionDanmark discuss how a changing regulatory picture and the economics of sustainable investment are coming together to create a tipping point in ESG, but they warn their peers to look beyond the label to what is on the inside. In keeping with being one of the first investors in wind energy years ago, Denmark’s PensionDanmark was also an original investor in the country’s state of the art energy island in the North Sea....

México. Educación financiera para la mujer, es progreso para todos

Por Rebeca Feria García Es evidente que somos parte de una sociedad que forja y arropa serios problemas en contra de nosotras las mujeres. Elegir un tema para hablar este mes a propósito del Dia Internacional de la Mujer, resulta complejo, esto porque son varios temas que nos tiene en una posición de desventaja y que urge atender. Por mencionar algunos: violencia de género (en todas sus formas), acceso a educación, oportunidades de empleo, nivel de sueldos y acceso a...

México. Biva hace llamado a inversionistas y empresas a impulsar la igualdad salarial

Por Judith Santiago En el marco del Día Internacional de la Mujer, la Bolsa Institucional de Valores (Biva) hizo un llamado a inversionistas y empresas para cerrar la brecha salarial entre hombres y mujeres en México. “Hoy estamos solicitando e invitando a los principales inversionistas, como afores, manejadores de activos nacionales e internacionales, fondos inversión de México a comprometerse a buscar condiciones de equidad salarial no sólo dentro de sus firmas, sino haciendo extensiva esta iniciativa a las empresas que ellos...

UK. Pension challenges women face will impact on their retirement

By Jessica List March 8 marks International Women’s Day and celebrates the social, economic, cultural and political achievements of women. The campaign theme for this year is ‘Choose To Challenge’. The reason this has been chosen is that the organisers recognise that a challenged world is an alert world, and from challenge comes change. It is amazing to think that International Women’s Day is over 100 years old, the first gathering was in 1911. Much has changed over this time but according...

Taking a workforce break to raise children hurts retirement savings – economist

By Margarida Correia Taking time off from the workforce to take care of children can put a serious dent in workers’ long-term retirement savings. That was one of the central points that Michael Madowitz, an economist with the Center for American Progress, made as the keynote speaker Monday at Pensions & Investments' 2021 Defined Contribution Virtual Conference. A 29-year-old woman earning $44,000 who decides to take two years off for raising a child would not simply lose $88,000 for the two years she...

UK Budget: Sunak freezes lifetime allowance for pensions contributions

By Jenna Brown, Christopher Copper-Ind Britain's finance minister, Rishi Sunak, has frozen the lifetime allowance (LTA) for pension contributions at just over £1m for the remainder of this Parliament, and will be keeping IHT at the current level for a further five years. Read also UK. Women retirees win £2.7bn for underpaid pensions The Chancellor said the LTA would remain at its current level of £1,073,100 for 2020/21 rather than increasing in line with inflation. It had been expected to rise by...

Financial wellness can foster pension system in China

By Daisy Ho China faces mounting pension and retirement challenges, but it's not without silver linings. It's well known that China's huge and rapidly aging population will grapple with a shortage of pension coverage that looks set to worsen over the next few years. There is no quick fix for state pensions falling short of growing retirement needs, but policymakers see promoting private retirement saving schemes as a key means of filling the gap. Here, we see some encouraging signs, especially when...