WARNING: Mercer Global Pension Index 2023 (Patreon)

A pretty rattling report... about Pension adequacy around the world.  Amazing to see how poorly the USA ranks - beaten by Kazakhstan!  

Here are the top takeaways - apart from the need to be in control of your own destiny!!!

1. Netherlands Tops the List: The Netherlands’ retirement income system has reclaimed the top spot in the Mercer CFA Institute Global Pension Index.
2. Top Three: Following the Netherlands, Iceland and Denmark secured the second and third positions respectively in the ranking.
3. Global Challenges: The world's average age continues to increase, especially in mature markets. Inflation, rising interest rates, and globalization issues present significant challenges to pension plans, impacting retirees majorly.
4. Individuals’ Role in Retirement: Individuals are increasingly taking charge of their retirement planning, emphasizing the need for investment professionals to assist in preparation.
5. Pension Index Numbers: The Netherlands, with an index value of 85.0, leads the list. The index evaluates based on adequacy, sustainability, and integrity sub-indices. The top systems for these sub-indices were Portugal (adequacy), Iceland (sustainability), and Finland (integrity).
6. Falling Birth Rates & Reforms: Declining birth rates are pressuring pension systems, affecting sustainability scores for countries like Italy and Spain. Nonetheless, several Asian countries, including mainland China, Korea, Singapore, and Japan, have implemented reforms to improve their scores over recent years.

Other countries