April 2023
19Apr

U.S. workers want government to require employers to offer retirement plans

American workers favor government mandates requiring employers to offer retirement plans and make matching contributions, according to a new survey released Tuesday by Natixis Investment Managers. More than 4 in 5 workers (81%) said that employers should be required to offer workplace retirement savings plans, with millennials voicing the greatest support for such a mandate (88%) followed by Generation X (79%) and baby boomers (70%). More than 3 in 5 workers (78%) also said they support requiring employers to make matching...

April 19, 2023
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18Apr

Do state and local pension plans really need to be fully funded?

The Center for Retirement Research’s most recent undefined makes a strong case for shifting the focus of fiscal sustainability for state and local pension plans from full funding to stabilizing their pension debt as a share of the economy. While full funding is tidy in the sense that, if the pension were to shut down, assets would be available to pay full benefits, it involves a significant opportunity cost in terms of forgoing public investment in infrastructure and education. To assess...

April 18, 2023
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14Apr

Why An Aging Population Might Not Doom The American Economy

The American economy is booming and robust. Just look at the chart below, which shows that the overall unemployment rate — the share of people within the labor force who are without work but are looking for it — is lower than it’s been in more than 50 years: But wait! Americans just don’t want to work like they used to. As you can see in the following chart, the labor force participation rate — the share of all Americans...

April 14, 2023
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10Apr

US. The healthcare system is unprepared for an aging population

A conservative estimate of 30,000 geriatricians will be needed to care for older adults by 2030, currently there is only about a quarter of that. The U.S. healthcare system must address the shortage of geriatricians -- and fast. The U.S. population is growing and aging, with an estimated 42% increase in those aged 65 and older between 2019 and 2034. The shortage of primary care providers in the U.S. means 17,800 to 48,000 fewer doctors will be available than needed within...

April 10, 2023
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05Apr

How America Saves 2022

By Vanguard Over the past decade, retirement plan sponsors have increasingly turned to automatic solutions to influence employee retirement saving behavior. As a result, plan participation rates have increased, automatic enrollment designs have become stronger, and participant portfolio construction has continued to improve with more age-appropriate asset mixes and less extreme equity allocations. During 2021, the COVID-19 pandemic continued to impact many parts of the economy. While it pushed to recover, the economy faced prominent headwinds that stoked several forms of...

April 5, 2023
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05Apr

US. NYC pension leaders to seek emissions cut plans from fund managers

New York City pension leaders will press external fund managers, including private market fund managers, on Wednesday for details on their plans to cut greenhouse gas emissions, officials said. Public, and private market managers that have faced less pressure on climate issues to date, run most of the roughly $240 billion in New York City pension fund assets. Boards overseeing the majority of that money have approved new expectations for those managers, New York City Comptroller Brad Lander said, which...

April 5, 2023
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March 2023
30Mar

US. Pension Risk Transfers Spiked in 2022 due to Higher Interest Rates, Report Shows

Rising interest rates drove increased pension risk transfer activity in 2022, as these transactions totaled $52 billion in premiums last year—the highest total in the decade Aon has been tracking the information, according to a recent report. A total of 568 pension risk transfer transactions were made last year, with IBM headlining this activity by completing a $16 billion retiree lift-out in September  2022. This was the second-largest PRT transaction in U.S. history, Aon’s U.S. Risk Transfer report for March...

March 30, 2023
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29Mar

US. Retirement Figures in DOL Budget’s SECURE 2.0 Implementation Plan

The Department of Labor (DOL) in its budget proposal for fiscal year 2024 seeks funding to implement SECURE 2.0, and that includes retirement-related priorities. The DOL seeks $4,672,000 to Implement SECURE 2.0. The DOL indicates that it has no choice but to do so. The Consolidated Appropriations Act of 2023, notes the DOL, included mandates for implementing SECURE 2.0, and that included “a wide range of retirement-focused issues.” However, they add, the Act “did not appropriate any additional resources for implementation.” SECURE...

March 29, 2023
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27Mar

The 10 Years Before Retirement Are Critical. How to Be Ready

While retirement planning is a decadeslong endeavor, the way you handle your final decade before leaving the workforce will have a critical impact on how ready you’ll be when that day finally arrives. “It hits about 10 years out—this train is coming to me,” says Danielle Byrd Thompson, a financial professional at Equitable Advisors in Washington, D.C. “It’s like a time clock is starting.” Of course, that final stretch is far easier to navigate when the stock market cooperates. From 2009...

March 27, 2023
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24Mar

Retirement preparedness during uncertain times

By Fidelity 2023 RSA Executive Summary Fidelity’s Retirement Savings Assessment is built upon comprehensive data from more than 3,500 survey responses that are run through the extensive retirement planning platform Fidelity uses every day with customers. The result: a numerical indicator showing whether savers are on track to meet estimated retirement income needs. The score places households into four categories on the preparedness spectrum, based on a household’s ability to cover estimated retirement expenses in a down market. Read book here

March 24, 2023
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