July 2021

UK. Half of millennials want cryptocurrencies in pensions

Almost half of millennials would like to invest their pension in cryptocurrencies, study finds. The research on UK pensions explores the appeal of new investment opportunities across different groups of savers. It finds that the appetite for cryptocurrencies is high among millennials at 40%. But digital currencies hold far less appeal for older generations. It was 10% among Gen X (age 41 to 56), 7% for baby boomers (aged 57 to 75) and 10% for the silent generation (aged 76 and older). The...

May 2021

China introduces three-child policy to alleviate problem of ageing population

China's government has announced it is scrapping a policy limiting couples to two children and will now allow them to have three. The change was approved during a Politburo meeting chaired by President Xi Jinping, according to official news agency Xinhua. The government said the problem of an ageing populace was deepening and the change would help to improve the structure of China's population and maintain its advantage in human resources. The policy change will come with "supportive measures, which will be...

Can green fintechs solve the polluting pension problem?

Fintechs have seen green, launching apps that help us track the carbon emissions of our shopping habits, play the stock market in a planet-friendly way and even fight plastic pollution with our debit cards. These offerings are nudging consumers towards better behaviours, but there is one far bigger and far less sexy financial problem this crop of startups now wants to tackle. Pensions. A new survey from YouGov and Money Matter found that 44% of people would switch over to a...

UK. FCA proposes Pension Wise nudge for DC savers

In a consultation today, the Financial Conduct Authority (FCA) today proposed that providers will need to go further than the current signposting in a bid to improve take-up of the free guidance service. Consumers would see appointments made for them, if requested, although they will not be mandatory after MPs on several occasions voted against the idea, believing it could be seen as a tick-box exercise, as opposed to a beneficial part of the process. Upon deciding, in principle, how to...

April 2021

Are Dutch pensions hesitant to absorb direct real estate write-offs?

Dutch pension funds reported substantially higher returns on their direct real estate returns in 2020 than on their investments in listed real estate equities during the same period. Despite the heavy losses in segments of the real estate market as a result of the coronavirus lockdowns, the value of Dutch pension funds’ direct real estate investments as reported to pensions regulator De Nederlandsche Bank (DNB) increased by 1% to €83.5bn compared with a reported decrease of 7% to €56.7bn for listed real estate. The...

World’s Top Pension Fund Treads Water as ESG Picks Up Pace

After taking over the helm of the world’s biggest pension fund in 2015, Hiromichi Mizuno helped chart a course that not just made sustainable investing big in Japan, but also raised the strategy’s global profile. Read also UK. Pension Superfunds: Bright Future or Flash in the Pan? The Government Pension Investment Fund’s former chief investment officer sidestepped public bemusement and criticism at home, as he sought to turn GPIF into a fund that -- as one Harvard Business Review article put...

The Post-Pandemic Safety Net

With the United States beset by the COVID-19 pandemic, a deep economic recession, and heightened racial tensions, many observers predicted – some in hope, others resignedly – that the 2020 elections would bring about a significant change in the country’s social contract. Fortunately, they appear to have been right. Proposals to strengthen the welfare state and social safety nets have gone mainstream – and not only in America. I argued back in May 2019 that America was ready for a...

New GPIF Board Head Says Fund Isn’t Distorting Japan Stocks

By Chikafumi Hodo, Emi Urabe Japan’s Government Pension Investment Fund, the world’s largest pension pot, considers the impact of its investments on markets and isn’t distorting the country’s stocks, said Hirohide Yamaguchi, the newly appointed chairman of the fund’s board of governors. Yamaguchi, a former deputy governor of the Bank of Japan, said also that it was important to look at the fund’s long-term returns, rather than focusing on the short-term. He spoke in Tokyo at his first press conference since...

Latin America: A Growing Appetite for Alternative Assets

Preqin has launched its first Latin America-focused report. “Preqin Markets in Focus: Latin America’s Growing Appetite for Alternative Assets” explores the emerging market and trends paving the region’s future in the alternatives industry. With diverse challenges and opportunities unique to the economies and investors in the region, this report reveals how Latin America is leaving the global pandemic behind and expanding further into the world of alternative investments. Read also Guyana. IDB study calls for overhaul of pension system The region’s...

March 2021

PensionBee targets £55m capital raise as IPO plans confirmed

PensionBee is aiming to raise £55m through issuing new shares, as the pension provider has confirmed its intention to list on the London Stock Exchange. The group, which first made its intentions public on March 23, today (March 30) published its registration document for an IPO on the LSE. Read also UK women have up to 45% less in pension at retirement than men The £1.5bn AUA company is applying for admission in the high growth segment of the main market on...