Research Catalog
Evaluating the Design of Private Pension Plans Costs and Benefits of Risk-Sharing
- Title
- Evaluating the Design of Private Pension Plans [electronic resource]: Costs and Benefits of Risk-Sharing / Hans Blommestein ... [et al]
- Publication
- Paris : OECD Publishing, 2009.
Available Online
Details
- Additional Authors
- Description
- 24 p.; 21 x 29.7cm.
- Summary
- The principal purpose of this paper is to analyse the trade-off between the uncertainty in contributions on the one hand and benefits on the other that is embedded in different pension arrangements. The paper employs the funding ratio (ratio of assets to liabilities) and the replacement rate (ratio of benefits to salaries) as key criteria for evaluating the risk sharing characteristics of a private pension plan from the perspective of the plan member. The stochastic simulations performed show that hybrid plans (those in between traditional DB and individual DC) appear to be more efficient and sustainable forms of risk sharing than either of the other two. Of the three main hybrid plans analysed, conditional indexation plans appear to have the greatest potential as sustainable forms of risk sharing.
- Series Statement
- OECD Working Papers on Insurance and Private Pensions, 1993-6397 ; no.34
- Uniform Title
- OECD Working Papers on Insurance and Private Pensions, no.34.
- Subject
- Finance and Investment
- LCCN
- 10.1787/225162646207
- OCLC
- oecd-lib-002383
- Title
- Evaluating the Design of Private Pension Plans [electronic resource]: Costs and Benefits of Risk-Sharing / Hans Blommestein ... [et al]
- Imprint
- Paris : OECD Publishing, 2009.
- Series
- OECD Working Papers on Insurance and Private Pensions, 1993-6397 ; no.34OECD Working Papers on Insurance and Private Pensions, 1993-6397 ; no.34.
- Connect to:
- Indexed Term
- Finance and Investment
- Added Author
- Blommestein, Hans.Janssen, Pascal.Kortleve, Niels.Yermo, Juan.
- Other Standard Identifier
- 10.1787/225162646207 doi