Collective Defined Contribution Schemes as an Alternative to Pension Plans

Autores/as

DOI:

https://doi.org/10.32870/myn.vi45.7651

Palabras clave:

pensions, collective defined contribution, financial viability, actuarial viability

Resumen

Traditional pension plans, such as defined contribution and defined benefit, face several risks: being the most known, the increase of the life expectancy. To reduce this risk, many hybrid pensions plans have been proposed, to mitigate this risk. The objective of this study is to explore the financial and actuarial sustainability of a hybrid pension plan known as collective defined contribution (CDC) by accumulating a pension fund with the methodology found in Aon (2020). The results of the simulations in this study show that the replacement rate defined in the design of a CDC pension plan is reached by all the members in the plan. Moreover, that through the same pension fund, deficits and gains are financed by it.

Biografía del autor/a

Michael Demmler, Universidad Autónoma de Querétaro

http://orcid.org/0000-0002-1629-5814

Citas

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Publicado

2022-01-01 — Actualizado el 2022-01-01

Cómo citar

Gómez Hernández, D., & Demmler, M. (2022). Collective Defined Contribution Schemes as an Alternative to Pension Plans. Mercados Y Negocios, (45), 5–26. https://doi.org/10.32870/myn.vi45.7651