Occupational pension funds

2017 ◽  
Vol 19 (2) ◽  
pp. 158-171 ◽  
Author(s):  
Alexia Autenne
Keyword(s):  
Private Sector ◽  
Pension Fund ◽  
Pension Funds ◽  
Pension Plans ◽  
Occupational Pension ◽  
Defined Contribution ◽  
European Regulation ◽  
International Context ◽  
European Regulations ◽  
Fund Governance

This article reviews the orientation of the European regulation on pension fund governance in the international context of the OECD’s recommendations. It outlines the features judged to be essential for a sound private pension scheme’s governance. It then describes the orientation of the European regulations in this area and sets out some criticisms. The focus is on private sector ‘defined-contribution’ occupational pension plans managed by a pension fund, in light of the shared perception that the ‘governance’ issue is particularly sensitive for these types of schemes.

Pension fund governance: expertise and organizational form

2004 ◽  
Vol 3 (2) ◽  
pp. 233-253 ◽  
Author(s):  
GORDON L. CLARK
Keyword(s):  
Pension Fund ◽  
Codes Of Conduct ◽  
Pension Funds ◽  
Defined Benefit ◽  
Defined Contribution ◽  
Internal Governance ◽  
Codes Of Practice ◽  
Anglo American ◽  
Fund Governance ◽  
Equitable Treatment

Responsible for the welfare of beneficiaries, pension funds have many tasks and functions. Consequently, their governance and regulation are issues of public concern with direct bearing on the interests of stakeholders and ultimately the performance of Anglo-American financial markets. Subject to common law expectations regarding proper trustee behaviour, also important are statutory requirements regarding the equitable treatment of beneficiaries and the management of assets and liabilities. At one level, discretion is an essential attribute of the trust institution – trustees act on behalf of others not so well placed to manage their own long-term welfare because of lack of knowledge and/or ability. At another level, pension funds are presumably regulated by a well-defined purpose – the welfare of beneficiaries. In this paper, I look at the internal governance of pension funds emphasizing codes of practice, the rules and procedures for decision making, and trustee competence and expertise. While it is important to observe codes of conduct like those advocated by the OECD, there may be significant problems with any system of governance that relies upon rules and procedures. Inertia rather than innovation may be the net result. These issues are developed with reference to defined benefit and defined contribution schemes (and their variants). Ultimately, pension fund governance reflects, more often than not, its nineteenth-century antecedents rather than the financial imperatives of the twenty-first century.

Transitions from career employment among public- and private-sector workers

2019 ◽  
Vol 18 (04) ◽  
pp. 529-548 ◽  
Author(s):  
Joseph F. Quinn ◽  
Kevin E. Cahill ◽  
Michael D. Giandrea
Keyword(s):  
Public Sector ◽  
Private Sector ◽  
Pension Plans ◽  
Full Time ◽  
Defined Benefit ◽  
Defined Contribution ◽  
Private And Public ◽  
Public And Private Sector ◽  
Career Employment ◽  
Public Sector Workers

AbstractDo the retirement patterns of public-sector workers differ from those in the private sector? The latter typically face a retirement landscape with exposure to market uncertainties through defined-contribution pension plans and private saving. Public-sector workers, in contrast, are often covered by defined-benefit pension plans that encourage retirement at relatively young ages and offer financial security at older ages. We examine how private- and public-sector workers transition from full-time career employment, with a focus on the importance of gradual retirement. To our surprise, we find that the prevalence of continued work after career employment, predominantly on bridge jobs with new employers, is very similar in the two sectors, a result with important implications in a rapidly aging society.

scholarly journals Pension and retirement intentions as determinants of employee engagement and productivity

2021 ◽  
pp. 1601-1606
Author(s):  
Nur Hasan Kurniawan ◽  
Mahmuddin Yasin ◽  
Hamidah Hamidah
Keyword(s):  
Employee Engagement ◽  
Human Resource ◽  
Financial Management ◽  
Pension Fund ◽  
Sampling Technique ◽  
Pension Funds ◽  
Pension Scheme ◽  
Research Approach ◽  
Occupational Pension ◽  
Retirement Intentions

The issue of pension funds is not only a financial matter, but also a human resource. Pension funds do not stand alone, but are assumed to be related to other human resource (HR) variables. Starting from this background, this study aims to examine the effect of the occupational pension scheme (OPS) and retirement intentions (RI) variables partially on employee productivity (EP) directly or through employee engagement (EE), the effect of OPS on RI, and the effect of OPS on EP through RI. Post-positivist is the research paradigm, with a quantitative research approach, with explanatory causal types and statistical studies. Dapenma-Pamsi is selected as the location of this research and we choose the Joint Pension Fund of municipal waterwork which are located in six provinces in Java Island. The sampling technique for this study was proportionate stratified random sampling, with a total sample of 500 active Dapenma-Pamsi participants in six provinces in Java. The research instrument was a questionnaire with a Likert scale of 1-7. The data analysis technique used SEM-AMOS. The results of the study are supported by ten research hypotheses. The novelty of this research is the integration of variables rooted in the discipline of financial management and variables from the discipline of human resource management. This research is also could help Indonesia Government foster the growth of Private Pension Fund Program in Indonesia.

scholarly journals Default bias or no default bias? evidence from decisions regarding occupational pension fund enrollment in Italy

2013 ◽  
Vol 2 (3) ◽  
pp. 117-127
Author(s):  
Andrea Lippi
Keyword(s):  
Pension Fund ◽  
Pension Funds ◽  
Status Quo ◽  
Occupational Pension ◽  
Default Option ◽  
Factors Influencing ◽  
The Status

If forced to choose a supplementary pension fund, people will decide not to decide, accepting decisions made for them by others (default bias), reaching a status quo position. This study analyses whether the status quo position achieved via the default option in Italian occupational pension funds is later changed over the period studied (2007-2011), and the factors influencing any change.

Portfolio allocation for public pension funds

2011 ◽  
Vol 10 (2) ◽  
pp. 221-245 ◽  
Author(s):  
GEORGE PENNACCHI ◽  
MAHDI RASTAD
Keyword(s):  
Pension Fund ◽  
Pension Funds ◽  
Pension Plans ◽  
Public Pension ◽  
Annual Data ◽  
Portfolio Risk ◽  
Fund Management ◽  
Pension Fund Management ◽  
Portfolio Allocations ◽  
State Pension

AbstractThis paper presents a model of a public pension fund's choice of portfolio risk. Optimal portfolio allocations are derived when pension fund management maximize the utility of wealth of a representative taxpayer or when pension fund management maximize their own utility of compensation. The model's implications are examined using annual data on the portfolio allocations and plan characteristics of 125 state pension funds over the 2000–2009 period. Consistent with agency behavior by public pension fund management, we find evidence that funds chose greater overall asset – liability portfolio risk following periods of relatively poor investment performance. In addition, pension plans that select a relatively high rate with which to discount their liabilities tend to choose riskier portfolios. Moreover, consistent with a desire to gamble for higher benefits, pension plans take more risk when they have greater representation by plan participants on their Boards of Trustees.

scholarly journals ANALISIS FAKTOR-FAKTOR YANG MEMPENGARUHI KUALITAS LAPORAN KEUANGAN DANA PENSIUN

2012 ◽  
Vol 12 (2) ◽  
pp. 107
Author(s):  
Nur Hasanah
Keyword(s):  
Earnings Management ◽  
Significant Influence ◽  
Pension Fund ◽  
Audit Quality ◽  
Multiple Linear Regression Model ◽  
Pension Funds ◽  
Financial Reports ◽  
Fund Governance ◽  
Variable Performance

<span>This research aims to investigate the factors that influence to the quality of pension fund <span>financial reports, a proxy with earnings management. These factors related to corporate <span>governance. This research using 22 Pension Fund in Indonesia, which was established <span>and approved by the Minister of Finance until 2005 and still actively running the business as the Pension Fund by the end of 2009. The research period is taken is 4 years, starting in 2006 until 2009. This research used multiple linear regression model. The independent variable in this research include variable performance of the Pension Fund, the rights of stakeholders, disclosure, and type of Pension Fund that is predicted significant influence on the quality of pension fund financial reports. The result of this research showed that only the audit quality has positive and significant influence on the quality of Pension Fund financial reports, whereas for the variable performance of the Pension Fund, the rights of stakeholders, disclosure, and type of Pension Fund showed no significant effect on the quality of the financial reports of the Pension Fund. Variable types of the Pension Fund (sharia and non-sharia), no significant influence on the quality of Pension Fund financial reports, this can be expected because up to this time there are no special regulations for sharia Pension Funds. Sharia arrangements in relation to aspects of Sharia Pension Funds activities, such as guidelines for preparing<br />the financial reports of Sharia Pension Fund is still using regulations that apply to non Sharia Pension Fund. Simak<br />Keywords: Good corporate governance, good pension fund governance, Pension Fund financial reports, sharia pension fund, earnings management.<br /></span></span></span></span>

scholarly journals Let the Chickens Run the Henhouse? Democratizing Pension Funds: Corporate Governance and Accountability by Ronald B. Davis

2009 ◽  
pp. 285-290
Author(s):  
Randy Bauslaugh
Keyword(s):  
Decision Making ◽  
Corporate Governance ◽  
Pension Fund ◽  
Pension Funds ◽  
Environmental Responsibility ◽  
Central Thesis ◽  
Potential Benefits ◽  
Fund Governance

The central thesis of this interesting, but clearly labour biased book, is that employees or plan beneficiaries ought to exercise greater decision-making control over the pension funds they participate in. In this way, Professor Ronald Davis argues, investee corporations can be influenced to behave with greater social, ethical, financial, and environmental responsibility. Notwithstanding its arguably optimistic if not naïve view of the potential benefits of democratizing pension fund governance, this book deals with many themes that highlight deficiencies in governance and accountability that many practitioners in the pension industry would likely admit should be addressed.

scholarly journals Determinants of Pension Fund Investment in Nigeria: The Critical Factors

2012 ◽  
Vol 2 (4) ◽  
pp. 1 ◽  
Author(s):  
Adeoti, Johnson Olabode ◽  
Gunu, Umar ◽  
Tsado, Emmanuel
Keyword(s):  
Internal Control ◽  
Pension Fund ◽  
Principal Component ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Pension Funds ◽  
Primary Data ◽  
Defined Contribution ◽  
Retirement Benefits ◽  
Fund Investment

Pension fund is a pool of resources contributed by the employees with the aim of having enough resources to carter for their needs after retirement. Therefore, pension fund needs to be invested so as to meet the aim of the contributors. This study was carried out to evaluate the factors that determine investment of Pension Funds. The study used primary data, which were generated by the use of questionnaire. Respondents were selected from a sample of five PFAs in Nigeria using simple random sampling technique. A total of 125 questionnaires were administered on 18 items using likert scales. Data collected were analyzed using factor analysis by principal component. Economic, Risk and Security of real estate factors were identified as the major determinants of pension fund investment. The study concludes that variables such as interest rate, internal control system etc, are not critical in determining investment of pension funds in Nigeria. The study also recommends that pension fund managers should develop good systems of mitigating on the enormous risks they face in their duty as investment managers. Key words: Pension fund, Determinants, Defined contribution, Retirement benefits, Pension fund administrator

scholarly journals Pension fund governance: The Polish experience

2014 ◽  
Vol 11 (3) ◽  
pp. 349-357
Author(s):  
Adam Samborski
Keyword(s):  
Pension Fund ◽  
Pension System ◽  
Pension Funds ◽  
Small Fragment ◽  
Fund Management ◽  
Pension Systems ◽  
Pension Fund Management ◽  
Polish Experience ◽  
Fund Governance

Despite a comprehensive pension related debate held on the governmental level and in media in Poland, little time was spent, however, on discussing nature and usefulness of governance in the context of pension systems aimed at would-be-pensioners. Attention is predominantly paid to the role of governance for investments. Unfortunately, governance is not addressed, with reference to pension funds, the way it should be. The author is looking for answers to questions about the state of pension fund governance in Poland, thus trying to find methods for improvement. Nevertheless, this text concentrates on a small fragment of the pension system in Poland. The article aims at attempting identification of issues to be faced by governance in voluntary pension funds that are managed by universal pension fund management companies.

scholarly journals The Distribution of Investment Risk in Defined Benefit Pension Plans: A Reconsideration

2005 ◽  
Vol 51 (1) ◽  
pp. 136-157
Author(s):  
Douglas E. Hyatt ◽  
James E. Pesando
Keyword(s):  
Empirical Evidence ◽  
Pension Fund ◽  
Fund Performance ◽  
Pension Plans ◽  
Investment Risk ◽  
Defined Benefit ◽  
Defined Contribution ◽  
Defined Contribution Plans ◽  
Defined Benefit Plans ◽  
Defined Benefit Pension Plans

The "textbook " description is that members of defined benefit pension plans bear no investment risk, in sharp contrast to members of defined contribution plans. Yet formal or informal bargaining may focus on the size of required employer contributions to a defined benefit plan. If at least some of the costs of such employer contributions are shifted back to workers, then members of defined benefit plans do bear investment risk. We utilize three sources of empirical evidence (a survey of pension specialists, econometric analysis, and case studies) to support the proposition that employees do bear at least some of the investment risk associated with pension fund performance. Poor fund performance leads to larger employer contributions to maintain the defined benefit obligation and this in turn leads to lower levels of other forms of compensation. We conclude that riskshifting does occur, in at least some plans, and that the textbook distinction is overstated.

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