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Successful Defined Contribution Investment Design
book

Successful Defined Contribution Investment Design

by Stacy L. Schaus, Ying Gao
February 2017
Intermediate to advanced
384 pages
10h 29m
English
Wiley
Content preview from Successful Defined Contribution Investment Design

CHAPTER 11A Global View:The Best Ideas from around the Globe for Improving Plan Design

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A journey of a thousand miles starts with a single step.

—Lao Tzu (6th century BC), Tao Te Ching

As I write this final chapter, I am also preparing to speak at a plan sponsor conference on the future of retirement. This is always a challenging topic, as who can predict the future? Fortunately, I’m not alone in this mission: I’m working with retirement experts Bill Ryan, associate partner at Aon Hewitt, Sabrina Bailey, global head of Defined Contribution at Northern Trust, and Sally Nielsen, Employee Retirement Income Security Act (ERISA) attorney at Kilpatrick Townsend & Stockton LLP. After much debate, together we identified three primary trends that will likely drive the future of retirement:

  1. The need for increased retirement plan coverage and participation globally.
  2. The importance and evolution of the investment default on achieving retirement outcomes.
  3. The search for retirement income solutions to sustain one’s lifestyle in retirement.

In this chapter, we consider the shift toward DC plans around the world, and focus in on these three trends in plan design—all with the hope of helping countries improve retirement outcomes in a DC world. We then provide a summary analytic framework for considering investment default and core investment strategies. Finally, we end by summarizing the ...

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Publisher Resources

ISBN: 9781119298564Purchase book