Defined Benefit Archives - Page 9 of 11 - Pension Policy International

03DecDecember 3, 2021

U.S. corporate plans’ funded status slips in November

Funding ratios for U.S. corporate pension plans decreased in November, according to reports from Legal & General Investment Management America, Insight Investment and Northern Trust Asset Management. Read also US. SEC guidance opens the door for more ESG proxy proposal LGIMA's monthly pension solutions monitor showed that the funding ratio of a typical corporate pension plan decreased by roughly 1.6 percentage points to 90.1% in November, primarily because of poor equity performance and lower Treasury yields. Read also US. Most Kentucky pension...

December 3, 2021

News, Slider2021, Defined Benefit, Funding, Occupational Pensions, US

20SepSeptember 20, 2021

The Golden Paper to Fix Pension Systems in MENA Region

By Ebrahim K Ebrahim All Arab countries, except for three, have deficits in their pension funds exceeding 50%. As for the three countries, two of them started their social insurance relatively late and the third one had to significantly recapitalize its fund early last decade. Likewise, these three countries are not immune from deficits of similar proportions during the next two decades if they end up doing the same thing. Up until now, there is one thing all Arab countries...

September 20, 2021

Articles, Pension design2021, Defined Benefit, Defined Contribution, MENA, savings

18FebFebruary 18, 2021

US Corporate Pension Funded Ratio Climbs to 89.8% in January

The funded ratio of the 100 largest corporate defined benefit (DB) pension plans improved to 89.8% at the end of January from 88.1% at the end of December as their aggregate deficit fell below $200 billion for the first time in more than a year, according to consulting firm Milliman. With the help of a 16 basis point (bp) increase in the monthly discount rate to 2.62% from 2.46%, the plans’ funding improved by $39 billion in January as their...

February 18, 2021

News, Slider2021, COVID-19, Defined Benefit, Funding, Occupational Pensions, US

13JanJanuary 13, 2021

U.K. corporate funds finish 2020 with increased deficits

The total deficit of U.K. defined benefit funds covered by the Pension Protection Fund's 7800 index increased 9.6% in December, to £86.4 billion ($117.3 billion). The deficit was £78.8 billion at the end of November. Deficits also worsened for the year ended Dec. 31, from £10.9 billion, said an update Tuesday by the London-based PPF. The PPF is the lifeboat fund for the defined benefit plans of insolvent U.K. companies. The funding ratio of the corporate pension plans worsened...

January 13, 2021

News, Slider2021, COVID-19, Defined Benefit, Funding, Sustainability, UK

12JanJanuary 12, 2021

US. Strong End to 2020 Puts DB Plan Funded Status Back to Where It Started the Year

The funded status of the nation’s largest corporate pension plans started and finished last year at the same level, as declining interest rates caused pension obligations to grow, offsetting gains from investments in equities and bonds, according to an analysis by Willis Towers Watson. Willis Towers Watson examined pension plan data for 366 Fortune 1000 companies that sponsor U.S. defined benefit (DB) plans and have a December fiscal-year-end date. Results indicate that the aggregate pension funded status is estimated...

January 12, 2021

News, Slider2021, COVID-19, Defined Benefit, Funding, US

03DecDecember 3, 2020

DB or not DB, what is the solution?

By Mark Daniel Mark Daniel takes us on a pensions journey, exploring various DB and DC plan designs and how these can help manage costs and possible risks. What a difference two years make. Boris Johnson is now the Prime Minister, Liverpool finally became Premier League Champions and, sadly (for me), Huddersfield Town are back down in football’s second tier. And then there is COVID-19. Who could have predicted any of the above? Admittedly, you didn’t need a...

December 3, 2020

Articles, Pension design, System Sustainability2020, Defined Benefit, Funding, Occupational Pensions, Public Pensions

02DecDecember 2, 2020

UK. Following Arcadia, Debenhams set to close putting 12,000 jobs at risk

Debenhams stores are set to close after the failure of last-ditch efforts to rescue the ailing store chain. It means all 12,000 employees are likely to lose their jobs when the chain's 124 shops cease trading. The news comes just hours after Topshop owner Arcadia fell into administration, putting 13,000 jobs at risk. Debenhams itself had been in administration since April. Hopes of a rescue were crushed after the last remaining bidder, JD Sports, withdrew. Staff were told the...

December 2, 2020

News, Slider2020, COVID-19, Defined Benefit, Occupational Pensions, UK

01DecDecember 1, 2020

UK. Arcadia is bankrupt. What will happen to the 10,000 of its pension plan?

The pension pots of thousands of employees of Topshop owner Arcadia are hanging in the balance as the retail group is hours from collapsing into administration. The pension scheme of the Arcadia group, which is expected to go bust today putting some 13,000 jobs at risk, is labouring under an estimated £350million deficit. The defined benefit pension fund could potentially be picked up by the official lifeboat scheme - the Pension Protection Fund - but that would...

December 1, 2020

News, Slider, Uncategorized2020, Defined Benefit, Occupational Pensions, UK

27NovNovember 27, 2020

Continuous-time Optimal Pension Indexing in Pay-as-You-Go Systems

By Oriol Roch Ageing population and economic crisis have placed pay-as-you-go pension systems in need of mechanisms to ensure its financial stability. In this paper, we consider optimal indexing of pensions as an instrument to cope with the financial imbalances typically found in these systems. Using dynamic programming techniques in a stochastic continuous-time framework, we compute the optimal pension index and portfolio strategy that best target indexing and liquidity objectives determined by the government. A numerical example is provided...

November 27, 2020

Articles, Pension designDefined Benefit, Public Pensions, Social Security

04NovNovember 4, 2020

Milliman expands Pension Buyout Index to include competitive pricing rate, which drops to 100.2% in September

Milliman, Inc., a premier global consulting and actuarial firm, today announced the latest results of its Milliman Pension Buyout Index (MPBI). As the Pension Risk Transfer (PRT) market continues to grow, it has become increasingly important to monitor the annuity market for plan sponsors that are considering transferring retiree pension obligations to an insurer. Read also Retirement Saving Is Hard Even For Those Who Can Afford It While we continue to analyze annuity purchase rates from all insurers, starting this...

November 4, 2020

News, Slider2020, COVID-19, Defined Benefit, Risk

December 2021

U.S. corporate plans’ funded status slips in November

September 2021

The Golden Paper to Fix Pension Systems in MENA Region

February 2021

US Corporate Pension Funded Ratio Climbs to 89.8% in January

January 2021

U.K. corporate funds finish 2020 with increased deficits

US. Strong End to 2020 Puts DB Plan Funded Status Back to Where It Started the Year

December 2020

DB or not DB, what is the solution?

UK. Following Arcadia, Debenhams set to close putting 12,000 jobs at risk

UK. Arcadia is bankrupt. What will happen to the 10,000 of its pension plan?

November 2020

Milliman expands Pension Buyout Index to include competitive pricing rate, which drops to 100.2% in September