Pension : Employers underestimate risks associated with poor defined benefit membership data
Most UK employers operating defined benefit pension schemes are underestimating the risks and failing to understand the impact of poor quality membership data. Over three-quarters of UK employers (76%) say that the quality of membership data is either of very low or low risk to their pension arrangements, according to research from Aon Consulting. Aon’s survey also reveals that 35% of employers consider future unknown liabilities of high or very high risk and 46% perceive certainty of value placed on scheme liabilities as a high to... Lire la suite
Aon: Pension pots continue to shrink
Pension pots have shrunk further in the past four weeks, with a 30 year old’s and 60 year old’s annual pension income decreasing by £518 and £358 respectively and 65 year olds left on a mere £7,666 a year, almost half the adequate standard of living (£14,400*), according to data from Aon Consulting, the leading employee benefits and risk management firm. As experts continue to debate the future of the economy – with predictions varying from recovery to double dip recession – the UK’s pension investors continue to see falling returns.... Lire la suite
Dwindling pension pots support retirement age review
Over the last two years, the projected annual retirement income for a 60 year old has decreased by over £3000, while 65 year olds can expect to live on barely half the amount suggested as an acceptable living standard, according to data from Aon Consulting. Aon also highlights that with life expectancy at age 65 expected to increase by almost exactly one year between 2010 and 2016, a proposed one-year increase in retirement age would still leave retirees receiving their state pension for the same number of years as they do currently. The... Lire la suite
A new guaranteed income option for the at-retirement market at Aegon
Following its recent announcements to focus on the UK at-retirement market as a key strategic priority, Aegon today announces the launch of a secure income option on its Investment Control bond. The secure income option on the Investment Control bond provides customers with the security of a guaranteed income of 5% of their original investment over 20 years, no matter what happens to investment performance. It also provides the potential for capital growth. Each year on the bond anniversary, if the value of the bond grows to more than the... Lire la suite
Retirement funds : Nearly half of baby boomers are likely to run short of money after 10 years
If you’re a baby boomer, the odds are high you’ll exhaust your retirement savings after 10 or 20 years of retirement, according to the latest Retirement Readiness Rating report released last week by the Employee Benefit Research Institute. Nearly half of older boomers _ those now aged 56 to 62 _ and some 44 percent of younger boomers_aged 46 to 55 now_are at risk of not having sufficient income to pay for basic retirement expenses and uninsured medical expenses, according to the study. The study, which assumed that boomers would... Lire la suite
