January 2022

Commentary: China and ESG — a delicate balance

China and sustainable investing are two of the most important growth drivers for the asset management industry. So far, fund managers have pursued these two efforts in splendid isolation, without worrying about how activism at home might affect business in China. We expect this partition of affairs won't be sustainable for much longer. China represents the single most attractive new growth region for asset managers. It is already the second-largest market (after the U.S.) for asset management services: By year-end...

México. Diputados plantean reforma a la pensión por viudez

México. Diputados plantean reforma a la pensión por viudez

Diputados plantean reforma a la pensión por viudez No se justifica el porqué la viuda (o) que contrae nuevas nupcias pierde su derecho a obtener la pensión por viudez Al disolverse la sociedad se formará un inventario en el cual no quedarán incluidos los objetos de uso personal de cada parte. Al disolverse la sociedad se formará un inventario en el cual no quedarán incluidos los objetos de uso personal de cada parte. (Foto: iStock) La diputada Mary Carmen Bernal Martínez, del Partido...

República Dominicana. Abinader dispone nivelar pensiones civiles y policiales en 10,000 pesos mensuales

República Dominicana. Abinader dispone nivelar pensiones civiles y policiales en 10,000 pesos mensuales

El presidente Luis Abinader dispuso que, con efectividad inmediata para este mes de enero, la Dirección General de Jubilaciones y Pensiones a Cargo del Estado niveló a 10,000 pesos mensuales todas las pensiones civiles activas que se encuentren por debajo de dicho monto. Esta medida no sólo impactará a los pensionados directos, sino que también se hará efectiva para aquellos que reciben pensión por concepto de sobrevivencia. La iniciativa tendrá un impacto económico para el año 2022 de unos 1,380 millones...

The great population growth slowdown

At the stroke of midnight on January 1, New York City welcomed its first new inhabitant of 2022: Leyla Gessel Tzunun Garcia, born as the new year began at Coney Island Hospital in Brooklyn. Read also India’s jobs crisis is more serious than it seems Given changing trends around population and fertility, though, there’s less competition to become the first baby of the new year than there used to be. Fewer babies were born in New York City in 2020 than...

US. What the Pension Protection Act has taught us about saving for retirement

They say that hindsight is 20/20. And as we look back on the Pension Protection Act, which was passed just over 15 years ago, it’s clear that our understanding of the law has, well, cleared up. Commendably, this legislation was crafted with the best of intentions — to help more Americans save for retirement — but its unintended consequences made a greater impact for too long. Among other provisions, the Pension Protection Act gave plan sponsors the power to automatically enroll...

UK. MP seeks to extend auto-enrolment to 18-year-olds

Proposals that would see working 18-year-olds and low earners automatically save into a pension are being put before parliament this week. Read also UK. Expanding auto-enrolment could cost employers more, experts warn Conservative MP Richard Holden tabled a motion in the House of Commons on Wednesday to extend auto-enrolment in this way. Read also UK. FTSE 350 DB pension deficit falls by £28bn; ‘looming risks’ ahead The proposal looks to boost the pension pots of 18 to 22-year-olds and those who either work...

US. NCPERS Proposes a New Tool to Make Public Pension Plans Fiscally Sustainable

Public pensions can be made and kept sustainable for the long haul by incorporating a new tool— sustainability valuation—into funding policies and practices, according to a new study by the National Conference on Public Employee Retirement Systems. Pension systems can use sustainability valuation to monitor their fiscal status on a continuing basis, gaining insights that would enable them to identify fiscal adjustments needed to stabilize pensions long-term, the study found. The study by Michael Kahn, NCPERS director of research, delineates...

Taiwan fund to issue $2.3 bln climate change pension mandate, Asia’s first -official

Taiwan's largest pension fund is set to issue what a top official said is Asia's first climate change-focused stock mandate, worth $2.3 billion, amid mounting pressure for the global financial sector to support green investing. The open-tender bidding process for asset managers seeking to be involved in the Bureau of Labor Funds mandate will commence in the first quarter of the year, Liu Liju, deputy director general at the fund, told Reuters in an interview. The fund has Taiwanese $5.5 trillion...

España. El Gobierno podría adelantar la edad de jubilación a 60 años a estos profesionales

España. El Gobierno podría adelantar la edad de jubilación a 60 años a estos profesionales

Pese a que las líneas principales de trabajo del ministro José Luis Escrivá y la reforma de las pensiones van encaminadas a alargar las carreras profesionales, hacer coincidir las edades legal y efectiva de jubilación y consolidar la edad de jubilación a los 67 años, el Gobierno se ha mostrado dispuesto a permitir que algunos profesionales se puedan jubilar a los 60 años sin penalización económica. Se trata de un privilegio del que ya gozan algunas profesiones por su naturaleza...

ESG Investing Is Not Sustainable Investing

There’s a lot of confusion in the marketplace regarding ESG (Environmental, Social, Governance) and Sustainable, sometimes known as SRI (Sustainable, Responsible, and Impact) investing. Many people think the two terms are interchangeable – I’m here to tell you that they aren’t. Blackrock BLK +0.4%, Vanguard, and other big investment houses are simply capitalizing on the growing interest in values-aligned investing. In fact, they have invested a significant amount of money in marketing ESG to have you believe that they are...