February 2025

Living Beyond Age 100: A Possibility With Financial Impact

Living beyond age 100 might sound like the stuff of science fiction, but think about how many once-impossible ideas are now part of everyday life. Air travel, landing on the moon, mobile phones and even the ability to map our DNA were unthinkable not long ago. Now, breakthroughs in medicine and technology are nudging us closer to the possibility of living significantly longer, healthier lives. While immortality isn’t on the table just yet, the idea of living well beyond 100...

Kenya. Tax reforms usher in new era of retirement security

Kenyans can now contribute more towards their pension without significantly reducing their disposable income following the passing of the Tax Laws (Amendment) Act 2024. The new reforms, which came into effect in December last year, signify a new era of retirement security with a focus on financial stability and healthcare planning, as discussed at a pension stakeholder workshop in Nairobi over the weekend. According to John Keah, the Assistant Director of Market Conduct and Industry Development at the Retirement Benefits Authority...

Over 20% of Bulgaria’s Pensioners Cannot Afford Basic Necessities

According to Eurostat data, 22.4% of Bulgarians aged 65 and older experience severe material deprivation, meaning they are unable to afford at least seven out of thirteen basic items necessary for a decent quality of life. These essentials include things like replacing worn-out clothes, having some personal spending money each week, renewing old furniture, going on an annual vacation, or handling unexpected expenses. Only Romania has a higher percentage of pensioners in such deprivation, with 23.7% affected. On average, however,...

Singapore. Rethinking ageing: From caregiving to community and contribution

Caring for an elderly loved one might not be on your radar right now, but it’s a role many of us will take on eventually. “Almost all of us in Singapore will be, or already are, a caregiver,” Mr Dinesh Vasu Dash, CEO of the Agency for Integrated Care (AIC), observed. When his childless, widowed paternal uncle, now in his mid-80s, was hospitalised with a severe bout of influenza A, it was Mr Dinesh’s parents – both in their 70s –...

U.S. ETF assets reach record $10.7 trillion in January

Assets in the U.S. exchange-traded fund industry reached a new record of about $10.7 trillion at the end of January, surpassing the prior record of $10.6 trillion at the end of November, according to a Feb. 13 news release by independent research and consultancy firm ETFGI. In January, the U.S. ETF industry amassed net inflows of $90.3 billion, the highest figure ever recorded, well ahead of the previous monthly record of $78.8 billion in January 2018. Vanguard Group led with the highest...

Pensions vs earnings across Europe: The highest and lowest comparisons

Pensions in the EU amount to some three-fifths of late-career work income. In many European countries, this rate falls below 50%, making it increasingly challenging for pensioners to maintain a decent standard of living. In many European countries, pension income is significantly lower than pre-retirement earnings from work. This makes it difficult for many older people to maintain their standard of living after retirement. Nearly one in six pensioners are at the risk-of-poverty in the EU, with the rate increasing...

Canada. CPP Investments nearing $700 billion

The Canada Pension Plan Investment Board (CPP Investments) reported $699.6 billion in net assets, as of Dec. 31, 2024. The figure represents a $24.5-billion rise relative to the previous quarter. The pension fund manager earned $26 billion in net income, and delivered $1.5 billion in member payments. “Returns were strong this quarter,” said John Graham, president & CEO of CPP Investments in a news release. “Our investment teams were very active with more than 40 transactions signed or closed in...

Don’t expect AI to make pension decisions just yet, says CFA Institute

AI is steadily shaping the world of pension management, offering new efficiencies, deeper insights, and consistent challenges for pension managers, according to recent research from the CFA Institute. Genevieve Hayman, senior research affiliate at the CFA Institute, explained while AI’s role in pension management is still developing and surpassing efficiency gains, it’s not yet replacing the human decision-making process. Rather, machine learning tools are enhancing their ability to be more informed and accountable in their fiduciary duties, with AI being...

Canada. How safe is your pension from climate change? A new tool could predict that — if companies use it

Corporate bean counters can now implement “landmark,” made-in-Canada environmental standards as part of their bookkeeping, to be more transparent about how profits could be affected by climate change. In December, Chartered Professional Accountants of Canada enshrined the standards in its official handbook used for preparing financial statements. Industry watchers say the push towards corporate transparency is likely to continue despite recent moves by businesses and politicians in the opposite direction. Transparency rules help the public see where risks are hidden. Take real estate...

India. Atal Pen­sion Yojana enrol­ments grow 29% annu­ally since 2019

The Centre’s ambi­tious Atal Pen­sion Yojana (APY), launched in 2015 to provide uni­ver­sal social secur­ity to India’s unor­gan­ised work­force, has wit­nessed a remark­able surge in enrol­ments, with five States alone account­ing for nearly half of the total sub­scribers. FOCUS. Accord­ing to the latest data presen­ted in the Lok Sabha, Uttar Pra­desh leads with 16.11 per cent of total enrol­ments, fol­lowed by Bihar (9.59 per cent), Maha­rashtra (7.96 per cent), West Bengal (7.68 per cent), and Tamil Nadu (6.69 per cent). Com­bined,...