What impact will inflation have on pensions? An answer comes from the tenth edition of Natixis IM’s Global Retirement (GRI) Index 2022. Analysis suggests that 2022 may be the hardest year to retire in recent history. This is due to a market environment that affects retirement savings. In practice, the high inflation rate will erode part of the capital set aside but the volatility on the markets as well as the low interest rates also weigh. These are the things that put more and more pressure on retirement security globally. This year’s survey frames 2022 as potentially one of the worst years to retire in living memory. This is because retirees risk not only deriving retirement income from already depleted assets, but also having to take more risks in their portfolios to regain lost ground.

The ranking

The analysis also draws up a ranking of the countries with the “safest” pensions. In the general ranking, Italy occupies the 31st place, confirming the positioning of last year. In practice, pension security in our country was confirmed overall at the same levels as last year, with a score of 62% (the same as in 2021).

Norway is in first place, followed by Switzerland and Iceland. Luxembourg and the Czech Republic enter the world top ten, Germany and Canada leave. The biggest leap forward in the last decade is Ireland: from 38th place in 2012 to the current fourth.

The Natixis IM Global Retirement Index includes 18 performance indices, grouped into four macro-themes that cover different key aspects for retirement well-being: the material means to live comfortably; access to quality financial services to help preserve the value of savings and maximize income; access to quality health services; a clean and safe environment.

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