Upload
kylene
View
30
Download
0
Tags:
Embed Size (px)
DESCRIPTION
Retirement Savings in Australia, Asia and Beyond: What are the Lessons for the United States?. Outlook for European Pension & Defined Contribution Assets Washington DC September 17 th 2013: 1:30 – 4:00 PM. Voluntary Enrolment/Taxation Incentives. Germany Rapid Ageing of the Population - PowerPoint PPT Presentation
Citation preview
Outlook for European Pension & Defined Contribution AssetsWashington DC
September 17th 2013: 1:30 – 4:00 PM
Retirement Savings in Australia, Asia and Beyond:
What are the Lessons for the United States?
Voluntary Enrolment/Taxation Incentives• Germany
– Rapid Ageing of the Population– Generous PAYG 1st Pillar– Review of Occupational Pension Approaches– Riester Reforms – Tax Incentives – Capital Guaranteed Investment Solutions
• Ireland– Economic Austerity– Uneven coverage and contribution rates– Sharp Decline in DB – Waterford Crystal Case– OECD Report – Mandation vs AE– Response by Government to the OECD Report– Chronic Need for Sustainable Reforms– Social Cohesion
• France– Generous PAYG 1st Pillar– Decline in Occupational DB – Economic austerity– PERCO – first tentative steps towards collective– Wider pension reforms, ageing, economic austerity and industrial unrest
Auto-Enrolment • United Kingdom
– Modest PAYG 1st Pillar Pension– Embracement of Auto-Enrolment Experiences – Lessons from the United States– Development of NEST and Mastertrusts/Corporate Platforms– Target Dated Fund Growth– Price Capping – 4% employee, 3% employer and 1% by the government– Re-Enrolment after 3 years
• The Netherlands– Generous PAYG 1st Pillar– Decline of Defined Benefit Schemes– Sharp growth in defined contribution with underlying investment guarantee and AE– Collective DC Solutions– Pension Premium Institution (PPI) – Cross Border
Mandation
• Switzerland– PAYG – First Pillar– Referendum to move towards mandation in the first
half of the 1980s– Equal co-contributions from employers and
employees – increasing as you age 7% and 18%– Guaranteed rate of return/Domestic Investments– Prescribed Investment Approaches– National Consensus
Europe: Total Pension Asset Projections
In Millions of $USD
(a) (a) (a) (a) (a) (f) (f) (f) (f)2008 2009 2010 2011 2012 2013 2014 2015 2016
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
UK Switzerland Ireland
Actual Forecast
Tor Financial Consulting Limited Projections (2013)
Europe: Total Pension Asset Projections
(a) (a) (a) (a) (a) (f) (f) (f) (f)2008 2009 2010 2011 2012 2013 2014 2015 2016
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
2,718 4,167 5,298 6,676 7,978 8,137 8,363 8,727 9,383
Netherlands Germany France
Actual Forecast
Tor Financial Consulting Limited Projections (2013)
Europe: Total DC Asset Projections
In Millions of $USD
2008 2009 2010 2011 2012 2013 2014 2015 2016 -
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
UK Ireland Switzerland
Actual Forecast
Tor Financial Consulting Limited Projections (2013)
Europe: Total DC Asset Projections
2008 2009 2010 2011 2012 2013 2014 2015 2016 -
50,000
100,000
150,000
200,000
250,000
300,000
Netherlands Germany France
Actual Forecast
Tor Financial Consulting Limited Projections (2013)
Lessons for Europe - Australia
• Political agenda• Sharp DB Decline• Regulatory Approaches• Coverage and Contribution Considerations• Administration and Plethora of Accounts• Default Solutions• Need for Taxation Incentives