June 2024

How Sustainability Disclosures and Regulations Benefit Investors

There are several regulations and disclosure requirements aimed at meeting sustainability and greenhouse gas reduction targets worldwide that investors will need to understand and from which they can hopefully benefit. Asset owners representing trillions in assets have pledged to mandate things such as sustainable, carbon-neutral portfolios and divestments from carbon producers. For example, the U.N.’s Net-Zero Asset Owner Alliance represents 69 asset owners with $8.4 trillion in assets under management with a target of achieving net-zero portfolios by as late as...

Ghilarducci corrects Larry Fink’s suggestion of “working longer to dodge retirement crisis”

BlackRock CEO Larry Fink caused quite a stir when he suggested America could dodge its looming “retirement crisis” by encouraging people to continue working past age 65. The billionaire, who chairs the world's largest asset manager, kicked off his 2024 annual letter to shareholders by telling his readers it is “time to rethink retirement.” Don't miss Commercial real estate has beaten the stock market for 25 years — but only the super rich could buy in. Here's how even ordinary investors can become the landlord...

May 2024

Pension managers back climate group after high-profile US exits

 Asset owners overseeing $4.6 trillion have signed a statement throwing their support behind the Climate Action 100+ investor group after several high-profile Wall Street investors left the global initiative. Signatories included the California State Teachers' Retirement System (CalSTRS) and California Public Employees Retirement System pension managers, as well as more than 40 others from countries including Britain, Canada and Sweden. In the statement on CalSTRS' website, the groups, many of which employ asset managers to invest in markets on their behalf,...

Venezuelan National Assembly Approves Pension Protection Bill

The National Assembly of Venezuela approved on Thursday in the first discussion, the Social Security Pension Protection Bill, after it was presented to that body by the executive vice president of the South American country, Delcy Rodriguez. "We wanted to bring this bill that has 13 articles that seek special protection, through contributions and contributions of private business for the protection of pensions against criminal blockade"said Rodríguez and also recalled that the country’s income from the blockade was impacted by...

April 2024

Living to 95 may impact the world as much as AI and climate change

You need an 'evergreen' approach to life, work and health, economics professor Andrew Scott says In the first session of his world economy class at the London Business School, economics professor Andrew Scott asked students to name the trends that will transform their lives and careers over the next several decades. Artificial intelligence and climate change sparked much discussion among his students. Meanwhile, the trend of demographic change and "more old people" was seen as a negative. In his new book, "The...

UK. Labour shifts poll tactics to target fearful Tory over-65s

Labour is to wage a new campaign to win over Tory-supporting pensioners in an attempt to neutralise one of the government’s last remaining electoral strengths, amid evidence the Conservatives are now performing as badly among the age group as they did under Liz Truss’s leadership. With less than a fortnight to go until local elections in England, which some Tories fear could trigger an attempt to topple Rishi Sunak, the Observer understands that Keir Starmer’s top officials are reorienting their campaign after detecting...

Finland intends on cutting pensions

Finance Minister Riikka Purra of Finland has emphasized the necessity of implementing pension cuts as part of the government's efforts to bolster public finances, according to an interview with Helsingin Sanomat, a local newspaper. With the aim of slashing EUR3 billion from the 2025 state budget, discussions surrounding pension reforms have taken center stage in the current political discourse. Purra acknowledged the inevitability of reducing occupational pensions as a component of the government's austerity measures. She highlighted potential strategies such...

Progress and priorities: reviewing sustainability in key pension systems

Pension funds are long-term investors and their ability to generate long-term returns relies on the performance of the markets and economies in which they invest. Because sustainability factors such as climate change and biodiversity loss threaten the performance of the markets and economies on which they rely for financial returns, pension funds have a responsibility to consider whether sustainability-related risks will inhibit their ability to protect long-term value and provide an adequate pension to their members or beneficiaries. Accordingly,...

UN PRI: U.S. pension funds face ‘mixed signals’ on sustainability

A culture of “mixed signals” in U.S. politics has contributed to an uncertain environment for pension funds when it comes to sustainability, according to a report by the United Nations Principles for Responsible Investment. The UN PRI report followed research from 2020 and 2021 that found “policy, structural and market barriers” to sustainability in the U.S., U.K., and Australia. The latest work identified 10 separate priorities these jurisdictions needed to address when it came to sustainability. The U.S. pension fund system...

March 2024

UK’s Hunt Says State Pension and Benefits Are ‘Under Review’

Chancellor of the Exchequer Jeremy Hunt indicated that reforms to the UK state pension and welfare benefits are being considered as the government scrambles to fund increases in defense spending and boost economic growth. Testifying to lawmakers in the House of Lords, Hunt said the triple lock — which guarantees that the state pension rises by the highest of inflation, average earnings or 2.5% — was “under review.” Continuation of the policy is subject to improving the government’s two goals of...