Tag: Defined Benefit
Equity prices have strongly recovered since the Great Recession, bringing some benefit to corporate pension funded status, but pension plan sponsors have still faced periods of unprecedented volatility, a prolonged slowdown in global growth, and historically low interest rates.
The employer sought to carve out new hires from a critical-status multiemployer pension fund and instead direct their contributions into a 401(k) plan—but both a district court and appellate court have called foul.
Alexi Maravel, director of Cerulli’s institutional practice, observes that the LDI topic is “probably the most competitive pricing environment among the different types of institutional custom solutions available today.”
Evidence mounts to show how cuts to public-employee pension benefits have reduced the ability of public-sector employers to compete with private-sector employers for skilled workers.
Ryan Labs president Richard Familetti reflects on the increasingly prominent role of investment consultants in helping to shape LDI strategies and other pension plan behaviors.
A federal district court has ruled a multiemployer pension fund's use of the "Segal Blend" rate when assessing a member's withdrawal liability was, in this instance, improper.
Strong asset returns and an increase in voluntary contribution activity drove DB plan funded levels significantly higher over the last year; on the other side of the ledger, however, lower discount rates offset some of the gains.
Since the last study of this kind by CEM Benchmarking, average DB fund costs have increased from 0.40% to 0.60%, whereas DC plan costs have remained constant at 0.39%; overall, DB plans outperformed DC plans in the last decade by only 0.46%.
A mere 16% currently offer a pension plan to new hires.
Under a new bill in the California legislature, the state’s Human Resources Department would administer and oversee a defined contribution-type program for state employees, redirecting matching contributions that otherwise would be paid into the state pension system.
In a followup interview with Jack Cohen, Association of BellTel Retirees chairman, he says his association and others warned the PBGC that risk transfers would harm the insurance system.
The slight decrease in overall mortality during 2016 measured by the Society of Actuaries may seem to run counter to the CDC’s report that life expectancy at birth declined 0.1 years, however both stats are in fact true.
Alongside numerous changes, the bill seeks to eliminate the current 10% cap on automatically-increased deferral rates of employees who are automatically enrolled in a plan.
A new public website has simpler navigation features, straightforward design, targeted messaging and an increased focus on educational tools.
Mercer Reveals Leadership Changes in Its Wealth and Health Hemisphere; Milwaukee Institutional Announces Boston Location Led by VP; BPOC Acquires Zenith American; and more.
T. Rowe Price brings in new head of CEDT Innovation Center; USI Consulting hires assistant vice president of retirement services; StoneStreet rebrands as its services are expanded; and more.
However, employers will likely have some difficulty in knowing how to handle the January 1, 2018, effective date that has been assigned for many provisions in the House and Senate tax reform proposals, especially for the purposes of income tax withholding.