A rebound in public equities markets in the second quarter of 2025 has positively impacted retirement outcomes for capital accumulation plan members, according to a new report by Eckler Ltd. The consultancy’s latest CAP income tracker found a typical male member retiring at the end of June 2025 achieved a gross income replacement ratio of 65.9 per […]
Six in 10 (60 per cent) of global defined contribution plan sponsors say the state of members’ retirement income is the biggest challenge facing DC plans over the next decade, according to a new report by WTW. The report examined nearly 30 global DC plans representing more than US$6.3 trillion in assets under management. It […]
Amid economic volatility, Canadian target-benefit plan sponsors can ensure strong outcomes for members by balancing pension benefit stability and intergenerational equity, says George Ma, a retired actuary and author of a new report on target-benefit outcomes for the Canadian Institute of Actuaries. He notes three fundamental elements underpin a well-structured target-benefit plan: sound design, clearly […]
Simply put, a glide path is a calculation designed to support an employee’s desired retirement timeline through investments in a target-date fund. When an employee first joins a defined contribution pension plan with a target-date fund, they’re exposed to capital appreciation assets that offer the most attractive risk-adjusted returns in the wealth accumulation phase, typically […]
Plotting out a glide path is the most important part of designing a target-date fund — not only does it take members on a roughly 40-year investing journey, but it also has the most significant impact on their retirement outcomes. Glide paths must also address the key risks facing defined contribution plan members, said Satwick […]
At the beginning of April, the OPSEU Pension Trust made a change to a definition in its plan text that will have meaningful implications for plan members with disabled children who need to continue to rely on their parents into adulthood. The organization expanded the definition of a child eligible for survivor benefits to include […]