The Association of Canadian Pension Management (ACPM) believes that a new funding regime must be developed to preserve DB pension plans.

In a new paper, DB Pension Plan Funding: Sustainability Requires a New Model, it says that, without these changes, the prevalence of DB pension plans will continue to decline.

The paper also explains why funding requirements for private sector single employer DB pension plans should be changed, why solvency funding no longer works and why a new funding model is needed.

“We believe this paper will open the door to discussions about the important changes that are required to ensure the continuation of single employer DB pension plans in the private sector,” says Andrew Harrison, chair of the ACPM board of directors.

The paper is available on ACPM’s website.

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