Germany. Demographics hit pension systems with full force
Bolstering the still underdeveloped second and third pillars of retirement provision is unavoidable. Expanding occupational and private pensions via pension funds and insurers would not only help shrink – or even close – the private savings gap, but also ease the strain on public budgets by stabilising or even reducing transfers to the state pension system. And not least, it would mobilise additional capital for investment through contribution funds channelled into capital markets. Lack of ambition The new CDU/CSU/SPD coalition government,...
