Pension fund management: a global perspective, Financial Management

Pension Fund Management: A Global Perspective

Pension funds are known worldwide more for their social security element. They have assumed more importance from the day the private sector has started replacing the state. In a pension fund system, any employee working with the state enterprise was saving in bits and pieces in the pension funds and was assured of his social security needs once he retired. In the absence of such a system, the employees have to save on their own and perhaps sometimes put in more hours of work to sustain. But with pension funds, employees of both state and private sector are assured of their future safety.

Over the last century, pensions have extended financial support to millions of retired people all over the world. However, due to the continuous bearish trend in the financial markets, most pension funds have turned red. The growing mismatch of assets and liabilities in pension funds has raised serious concerns about the future of the retirees.

Social security has been assuming centerstage ever since the collapse of the stock markets in the year 2000. Though initially, very few people were worried about the future of their social security, it has now transformed into a big crisis. A large population across the world is seriously affected by depreciation of funds investments. Pension funds riding high on the bull market of the late 1990s have promised more returns to investors than what can be really affordable.

 

Posted Date: 9/11/2012 1:44:12 AM | Location : United States







Related Discussions:- Pension fund management: a global perspective, Assignment Help, Ask Question on Pension fund management: a global perspective, Get Answer, Expert's Help, Pension fund management: a global perspective Discussions

Write discussion on Pension fund management: a global perspective
Your posts are moderated
Related Questions
The asset that acts as a collateral for an asset-backed security can either be an amortizing or a non-amortizing asset. In an amortizing asset,

Discuss the advantages and disadvantages of the gold standard. Answer:  The benefits of the gold standard include: (I) as the supply of gold is restricted, countries cannot compr

What is the decision rule for accepting or rejecting proposed projects while using internal rate of return? While the internal rate of return is greater or equal as compare to

Fund Managers or the Asset Management Company (amc) The role of fund managers is highly significant in the mutual fund operations. So far, this role is being played by the Mutu

The financial ratios of a firm are given:     Current ratio    =  1.33   Acid-test ratio   =  0.80   Current liabilities  = 40,000   Inventory turnover ratio = 6    What is the

When an investor invests in fixed income securities, he receives returns from one or more of the following sources: Coupon Interest payment.

The Nu-Nu Brothers Inc. (NNBI) has the following capital structure, which it considers to be optional: Debt 25% Preferred Stock 15% Common Equity 60% NNBI''''s expected net income

Q. Example On modigliani and miller approach? The subsequent is the data regarding two companies X and Y belonging to the same risk class: Company X

a) A niche market refers to a lucrative and small market segment. Marketing strategy is targeted and concentrated at this specific market segment. Pink Ladies are specifically targ

In structured products like mortgage-backed and assets-backed securities, the cash flows include both principal repayment and interest. The complication arises wh