Investment Archives - Page 19 of 112 - Pension Policy International

15DecDecember 15, 2023

UK. New report finds greening pensions reduces carbon footprint more than stopping flying

Scottish Widows’ latest Green Pensions Report has found that while most Brits are well aware of how to reduce their carbon footprint through changing their behaviours, two thirds (67%) don’t know how to switch to a ‘green pension’. If this information gap were to be addressed by the government, industry and employers, UK consumers could collectively save up to 386 million tonnes of carbon emissions annually through their pensions[1] – the equivalent of 11 return flights from London to New...

December 15, 2023

NewsClimate crisis, ESG, Investment, US

13DecDecember 13, 2023

Developed Nations’ Public Pension Plans Dropped By Average of 15% in 2022

How bad was 2022’s market slide that hurt pension public pension plans in developed nations? Bad: They showed losses of about 15% on average, according to figures from an annual study by the Organization for Economic Co-operation and Development. The arrival of higher interest rates and inflation, as the world struggled out of the COVID-19 pandemic, led to significant losses in asset values in OECD countries, the report showed. Losses ranged from 21% in the U.K. and 18% in the Netherlands to 9% in...

December 13, 2023

NewsInvestment, Pension Management, Returns

12DecDecember 12, 2023

U.S. pension funds heavily invested in China despite crackdown

U.S. proposals to clamp down on investments in China may be being undermined by continued funding from some of America's biggest institutional investors, new analysis shows. The majority of U.S. public pensions, as well certain universities and non-profit organizations, have committed funds to China and Hong Kong, including in sensitive technologies — some as recently as this year, according to a report by Future Union, a non-partisan trade organization. The 74 largest contributors have allocated more than $70 billion to companies...

December 12, 2023

News, UncategorizedChina, Investment, Pension Management, US

08DecDecember 8, 2023

Global Public Pensions 2023

By Official Monetary and Financial Institutions Forum The Global Public Pensions 2023 report explores how public pension and sovereign funds are building optimal investment strategies to address the uncertain economic environment and factor sustainability into their portfolios. The report draws on surveys, discussions, and written contributions from 22 global public funds across the world with combined assets under management of $4.3tn. These include the likes of Singapore’s GIC, Canada’s CDPQ, Australia’s Future Fund and India’s National Infrastructure Investment Fund. It...

December 8, 2023

Books, Books, Reports, System Characterization2023, Funding, Investment, Pension Management, Public Pensions

08DecDecember 8, 2023

Money Illusion in Retirement Savings with a Minimum Guarantee

By Catherine Donnelly, Gaurav Khemka & William Lim We investigate the impact of money illusion on the investment strategy and retirement outcomes of pre-retirees. Money illusion refers to the tendency of individuals to overlook the effects of inflation and focus on nominal rather than real terms. We solve and compare the optimal investment strategies for a pre-retiree who exhibits money illusion and aims to maximize the expected power utility of wealth at retirement, subject to a minimum guarantee constraint. While...

December 8, 2023

Articles, Pension Management2023, Inflation, Investment, Withdrawals

08DecDecember 8, 2023

Japan’s SMBC pension fund explores boosting exposures to alternatives

Japan’s Sumitomo Mitsui Banking Corporation (SMBC) Pension Fund, managing assets worth 1 trillion yen ($6.6 billion), is poised to increase investments in illiquid alternatives, including infrastructure private equity and debt aimed at maximizing returns. Anticipating a shift in domestic interest rates with the expected exit of the Bank of Japan (BOJ) from its ultra-easy monetary policy, the pension fund is considering reassessing its longstanding strategy of investing Japanese government bonds (JGBs), which has comprised only about 1 per cent of...

December 8, 2023

NewsInvestment, Japan, Pension Management

07DecDecember 7, 2023

Danish pension fund to sell its Tesla shares over union dispute

PensionDanmark, one of Denmark's largest pension funds, said on Wednesday it had decided to sell its holdings in Tesla (TSLA.O) over the U.S. auto company's refusal to enter into agreements with labour unions. The decision is part of a growing Nordic movement to force Tesla to sign collective bargaining agreements with Swedish mechanics, who have been on strike since October. Labour unions in Norway and Denmark this week said they would start blocking transit shipments of Tesla cars meant for the Swedish market. Tesla has a policy of not...

December 7, 2023

NewsCorporate Governance, Denmark, ESG, Investment

06DecDecember 6, 2023

Pension scheme consolidation expected to continue into 2024

The UK’s 5,000 corporate defined benefit (DB) pension schemes recorded a near record surplus of £245bn in November, according to PwC’s Buyout Index, showing that schemes continue to have sufficient assets on average to ‘buyout’ their pension promises. Meanwhile, PwC’s Low Reliance Index has had a record month with a surplus of £380bn. This index assumes schemes invest in low-risk, income-generating assets like bonds, which should mean the pension scheme is unlikely to call on the sponsor for further funding. As...

December 6, 2023

NewsInvestment, Pension Management

06DecDecember 6, 2023

AI and pension funds: Is AI a safe bet for retirement investment?

Pension funds are in a perpetual crisis worldwide, with low demographic rates in many countries foreshadowing a dim future for such investments, combined with young people’s lack of faith in the continued existence of social security models. In order to stay afloat, many pension funds have strived to remain apprised of new investment opportunities, including cryptocurrencies. According to a 2022 study published by the CFA Institute, “94% of state and government-sponsored pension funds are invested in one or more cryptocurrencies.” But pension fund...

December 6, 2023

NewsInvestment, Pension Management, Technology

05DecDecember 5, 2023

Insurance and pension fund ownership of UK shares drops to record low

The proportion of UK quoted shares held by pension and insurance funds dropped to the lowest on record in 2022, latest data from the Office for National Statistics reveals. The statistics agency's biennial bulletin - published today (4 December) - showed the proportion of UK quoted shares owned by the two sectors fell to 4.2% in 2022, down from 4.3% in 2020 and 6.1% in 2018, and a stark contrast to the position in 1991 when pension funds and insurers...

December 5, 2023

NewsInvestment, UK

December 2023