Canada’s pension system rounds out the top 10 of the most stable systems in the world, according to research by Allianz Global Investors.

The study of 44 pension plans around the globe placed Canada in 10th place—behind Australia, Sweden, Denmark, New Zealand, Netherlands, Norway, Hong Kong, Finland and Switzerland. The U.S.’s pension system ranked 17th.

Pension systems were assessed based on current and future demographics, public finances, key features of the system and reforms already in place.

“Thanks to a baseline first-pillar income that keeps its pension expenditures relatively low, and a moderate aging trend that is not expected to stretch public finances, Canada is in the happy position of being rated with a sustainable pension system,” says the report.

“Taking all sub-indicators into account, Canada compares quite favorably with most of western Europe and the wider range of countries considered in this study.”

Australia’s pension system was ranked as the most sustainable, thanks to well-balanced old-age provisioning structures, favourable demographics and well-managed public finances.

At the opposite end, Greece’s sovereign debt crisis—combined with low retirement ages, high replacement rates and a high old-age dependency ratio—put Greece in last place, as the country with the least sustainable pension system.

This was the first year Canada was included as part of the study.

The study is available at

Copyright © 2020 Transcontinental Media G.P. Originally published on

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