Canada’s retirement income system scored ninth place for the second year in a row, securing a “B” rating in spite of uncertainty in the markets as a result of the coronavirus pandemic. The annual global pension index by Mercer and the CFA Institute noted the pandemic’s effects on the global pension fund markets aren’t only widespread […]
Defined contribution pensions are taking a bumpy ride in the coronavirus pandemic, with plan sponsors and their members facing volatile stock markets, financial uncertainty and interruptions to business as usual. Whether related to plan design, investment options, decumulation or overall financial well-being and education, what issues are taking the spotlight this year and what changes […]
The funded positions of Canadian defined benefit pension plans continued to recover in the third quarter of 2020, but major risks lie ahead, according to both Mercer Canada’s latest pension health index and Aon’s latest median solvency ratio survey. Mercer’s index, which represents the solvency ratio of a hypothetical DB pension plan, increased from 101 […]
Many human resources teams that are planning 2021 salary adjustments and possible changes to total rewards programs need to focus on immediate ways to keep employee morale up as the coronavirus pandemic rages on, while also focusing on the longer term retention and attraction of top talent. The ongoing economic uncertainty wrought by the pandemic means many Canadian […]
Since retirees and active plan members are fundamentally different, should their investment options reflect that distinction? That’s the question confronting defined contribution plan sponsors as they explore the relatively new world of in-plan decumulation. As of January, when the Ontario government passed a series of new regulations under the Pension Benefits Act, the majority of […]
In 2019, International Women’s Day was a significant event at the Colleges of Applied Arts and Technology pension plan because it prompted the launch of many new initiatives to further diversity and inclusion at the organization. It also marked the first time the CAAT plan celebrated international women’s day, exploring how it could improve its […]
At the time of my last column in May, many pension plan sponsors were catching their breath after watching funding levels take a roller coaster ride. After a steep drop earlier in the year, funding levels were slowly recovering. However, market uncertainty remained and it wasn’t clear what was coming next. Thankfully the last few […]
The coronavirus pandemic is fundamentally changing the future of work and, very likely, the nature of employer-sponsored benefits and pension plans. Looking to the end of the crisis, Canadian consultants see an array of major changes on the horizon, from more flexible benefits plans and mental-health care to an outsourcing of pension administration and the […]
Over the last several years, a small group of faculty members at the University of British Columbia has been calling on its pension plan’s board of trustees to consider divesting from fossil fuels. As support for divestment grew, the board of the UBC faculty pension plan, which is defined contribution, agreed to assess whether there […]
While factor behaviour tends to be consistent in market crashes and corrections, individual factor performance varies over the medium term. As such, institutional investors should maintain diversified exposure across key equity factors including value, quality, momentum, size and low volatility, according to a new paper by Mercer. The paper explored the past three financial crises: […]