Pension Contracts and Risk Sharing A Level Playing Field Comparison

Haan, Jurre de; Lekniute, Zina; Ponds, Eduard

doi:10.2139/ssrn.2741542

Search citation statements

Order By: Relevance

Paper Sections

Select...

Introduction1

Citation Types

Supporting

Mentioning

Contrasting

Year Published

2021

Publication Types

Select...

Article1

Relationship

Self Cite0

Independent1

Authors

Journals

Cited by 1 publication

(1 citation statement)

References 3 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Wesbroom et al (2013) conduct an historical analysis comparing the performance of CDC and DC schemes. Blake (2016) and Haan et al (2015) compare CDC scheme outcomes with Individual DC schemes through a simulation exercise, highlighting the performance smoothing capacity of CDC schemes, but also questioning their sustainability in the UK context.…”

Section: Introductionmentioning

confidence: 99%

An analysis of the Dutch-style pension plans proposed by UK policy-makers

Owadally¹,

Ram²,

Regis³

2021

J. Soc. Pol.

View full text Add to dashboard Cite

Collective Defined Contribution (CDC) pension schemes are a variant of collective pension plans that are present in many countries and especially common in the Netherlands. CDC schemes are based on the pooled management of the retirement savings of all members, thereby incorporating inter-generational risk-sharing features. Employers are not subject to investment and longevity risks as these are transferred to plan members collectively. In this paper, we discuss policy related to the proposed introduction of CDC schemes to the UK. By means of a simulation-based study, we compare the performance of CDC schemes vis-à-vis typical Defined Contribution schemes under different investment strategies. We find that CDC schemes may provide retirees with a higher income replacement rate on average, together with less uncertainty.

show abstract

Section: Introductionmentioning

confidence: 99%