April 2022

Chile. Doble Retiro AFP: ¿Podrían aprobar los dos proyectos en paralelo para ocupar los ahorros previsionales?

Por Ignacio Salinas Producto del complicado momento económico que atraviesa el país, el quinto retiro AFP es una de las iniciativas que mayor controversia ha generado en la población, y del cual hay dos proyectos en el Congreso a la espera de ser votados. Y es que ambos proyectos del quinto retiro AFP, tanto el que ingresaron los parlamentarios como la iniciativa que ingresó el Gobierno de Gabriel Boric, serán votados en la Cámara de Diputados y Diputadas el lunes 18...

February 2022

Can aging population trends tame inflation?

By Larry Berman The Economist, one of my favourite weekly reads (or listens these days with audio features), highlights a recent paper examining the effects of demographic change on saving, Etienne Gagnon, Benjamin Johannsen and David López-Salido of the Federal Reserve Board suggest that aging in America may account for about one percentage point of the drop in interest rates since the 1980s. Other research has suggested it could be as much as three per cent. One thing is fact,...

January 2022

The elephant in the room: Bringing sustainable investment to Africa

By Fiona Stewart The coronavirus pandemic has renewed interest in sustainable investing strategies that allow investors to both protect the financial value of their assets and contribute to solutions to global problems such as climate change. These investments have become increasingly mainstream, and now account for more than $39 trillion in the five major global markets, a 34 percent increase over two years, according to the latest trends reported by the Global Sustainable Investment Alliance. Read also Ghana. Lack of Pension...

Opinion: Do ‘ethical’ pension funds have a private equity problem?

Do ‘ethical’ pension funds have a private equity problem?

By Brett Arends The people running public pension plans these days like to boast about their “ethical” investment policies, for example when it comes to the environment or “diversity, equity and inclusion.” Meanwhile they pour billions of dollars into secretive private-equity funds in pursuit of extra profits. Now comes yet more evidence that some of those private-equity managers in turn are using that money for the opposite of ethics. “Private equity ownership leads to an increase of 147% in the percentage of… financial...

Private climate investment needs to get intentional about gender and equity — here’s how

By Suzanne Biegel The private capital committed by members of the Glasgow Financial Alliance for Net Zero (GFANZ) has the potential to transform climate investments. Yet climate investment decision-makers don’t reflect the diversity we need for a just transition. They are therefore likely to overlook the women outside of their networks driving many solutions. Read also ESG Investing Is Not Sustainable Investing This is true in both developed and developing markets. Growing research shows that having more women in decision-making positions results...

December 2021

The Elevated Economy: Why Investors And Companies Can’t Ignore ESG

By Richard Steel Over time, public companies will be forced to take stances on environmental, social and governance issues, pressured by shareholders, public opinion, clients and customers. I believe the same will be true with pension funds and endowments. Just look at the activism around the Harvard endowment and the world’s largest sovereign wealth fund, which manages Norway’s assets and is dropping $13 billion of fossil fuel investments. Not only companies but also consumers are embracing — even demanding — an...

Switzerland. Pension reform passes in parliament but set to be challenged to vote

By SWI The overhaul also foresees financial compensation – staggered over nine years for women directly affected by the change – as well as an increase in value-added tax. Both chambers of parliament on Wednesday agreed on a series of compromises, but left-wing political parties and trade unionsExternal link have vowed to challenge the reform in a nationwide vote. They argue women have to bear the brunt of the reform as their official retirement age will be set at 65, in line...

What the U.S. economy needs is for you to work longer to help protect your retirement benefits

By Richard Jackson Elderly workers have become an increasingly critical driver of U.S. economic growth, accounting for almost 60% of all gains in U.S. employment during the 2010s. But since the onset of the COVID-19 pandemic in February 2020, more than one in 15 elderly workers have dropped out of the country’s labor force. Near term, the decline in elderly labor-force participation is slowing the current economic recovery. Long term, if the decline proves permanent, it could worsen the already challenging...

November 2021

No pension. No savings. No future. No wonder we’re betting the house on crypto

By Rohit Thawani I must begin this article by stating that the information I’m providing is not financial advice. I think I legally have to say that because I heard it on a podcast or whatever, I really don’t know. But, if you’re taking crypto advice from me, that might be your first problem. It all started with a missed shot. Let’s go back to 2004, when I invested my $5,000 life savings into Apple, a company I truly believed in. It...

US’s shot at a sustainable future

By John D. Vincent The Infrastructure Investment and Jobs Act recently passed by Congress and signed into law by President Joe Biden on Nov. 15 will help to fuel America's economy for the next decade, driving sustainable and innovative growth across multiple regions and sectors. It is less ambitious and more focused than first envisioned but, under the bipartisan deal, the IIJA will invest approximately $1 trillion in revitalizing America's transportation, energy infrastructure, clean water infrastructure and broadband, among other priorities....