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DigitalBridge Group Inc. is considering selling Brazil's Scala Data Centers, potentially valued at over $2 billion. Scala, based in Sao Paulo and led by CEO Marcos Peigo, recently secured $500 million in financing for expansion in Latin America. Institutional investors are increasingly investing in data center businesses, making it a rapidly growing sector within real assets. [Extracted from the article]

New York City Comptroller Brad Lander has proposed ending fossil-fuel investments in private markets by the city's pension funds to reduce greenhouse gas emissions. The plan includes barring future investments in energy infrastructure like pipelines and LNG terminals from private equity and infrastructure portfolios, affecting three of the city's five retirement plans. The funds, which have a net zero pledge to cut emissions by 2040, have already sold publicly traded investments in fossil-fuel reserves and stopped investing in the exploration and extraction of fossil fuels in private markets. [Extracted from the article]

New York City Comptroller Brad Lander has proposed divesting the city's pension funds from fossil-fuel investments in private markets to reduce greenhouse gas emissions. The plan would prohibit investments in energy infrastructure like pipelines and LNG terminals, affecting three of the city's retirement plans. This move is part of a broader effort to reach net zero emissions by 2040 and mitigate climate change risks to the pension funds, which total around $206 billion. The proposal will be presented to the funds' trustees in early 2025, following previous divestment actions taken by the funds in publicly traded and private fossil-fuel investments. [Extracted from the article]

MetLife Inc. is reportedly in advanced discussions to acquire PineBridge Investments' assets outside of China for a potential value of $1 billion to $1.5 billion. PineBridge, majority owned by Hong Kong billionaire Richard Li's Pacific Century Group, is considering the sale of its assets excluding a China joint-venture with Huatai Securities Co. MetLife has emerged as the leading bidder, with an exclusivity period to finalize the agreement in the coming weeks. The potential acquisition could significantly increase MetLife's client investment assets and align with its strategic focus on less capital-intensive areas. [Extracted from the article]

MetLife Inc. is reportedly in advanced talks to acquire PineBridge Investments' assets outside of China in a deal valued at $1 billion to $1.5 billion. PineBridge, majority owned by Hong Kong billionaire Richard Li's Pacific Century Group, is considering the sale excluding its China joint-venture with Huatai Securities Co. MetLife has emerged as the leading bidder, with an exclusivity period to finalize details over the coming weeks. The sale process is ongoing, with no final decisions made yet. [Extracted from the article]

Spirit AeroSystems Holdings Inc. is planning to furlough around 700 workers supporting Boeing's 777 and 767 jetliner programs due to the ongoing strike at Boeing. If the strike continues past November, Spirit may need to extend unpaid leave and begin layoffs. The crisis at Boeing is impacting the wider aerospace industry, with Spirit facing financial pressure as a result of Boeing's minimal output during the strike. Talks between Boeing and union leaders have stalled, with Boeing offering a 30% wage increase while union officials are pushing for the reinstatement of a defined pension plan. [Extracted from the article]

Boeing Co. is currently in a stalemate with the union representing 33,000 striking hourly workers, with federal mediators working behind the scenes to find a resolution. The strike has shut down Boeing's manufacturing in the Pacific Northwest, posing a challenge for the company's new CEO. Both sides have been at a standstill, with the union pushing to reinstate a pension plan and Boeing announcing a workforce reduction. Mediators are working to facilitate negotiations and find common ground between the parties. [Extracted from the article]

Dallas, a rapidly growing metropolitan area, is facing a significant challenge of funding its $19 billion pension bill over the next 30 years, particularly for its underfunded police and fire retirement system. To address this issue, the city is considering budget cuts, revenue-generating measures, and potential property sales. The outcome of Dallas' pension funding plan will impact its credit rating and borrowing costs, with rating agencies closely monitoring the city's approach. Despite the city's growth and financial developments, addressing the pension liabilities remains a critical concern for Dallas. [Extracted from the article]

Boeing Co. is currently in a stalemate with the union representing 33,000 striking hourly workers, with federal mediators working behind the scenes to facilitate negotiations. The strike, which began on September 13, has halted Boeing's manufacturing operations in the Pacific Northwest and is a significant challenge for the company's new CEO, Kelly Ortberg. Both sides have been at odds over issues such as pension plans and workforce reductions, with mediators aiming to find common ground to end the labor dispute. [Extracted from the article]

Boeing Co. is currently in a stalemate with the union representing 33,000 striking hourly workers, with contract talks broken off for over a week. Federal mediators are actively involved in trying to end the labor impasse by closely monitoring the situation and looking for any shifts that could lead to further negotiations. The strike, which has shut down Boeing's manufacturing in the Pacific Northwest, is a significant challenge for the company's new CEO, Kelly Ortberg. Both sides have been at a standstill, with the union pushing to reinstate a pension plan and Boeing making announcements about workforce reductions. Mediators are working behind the scenes to facilitate a resolution, recognizing the historical context of long strikes at Boeing and the importance of the talks for the US economy. [Extracted from the article]

South African pension funds have paid out 21.4 billion rand ($1.2 billion) since new rules allowing savers early access to part of their retirement funds came into effect on September 1. The South African Revenue Service has received 1.2 million tax-directive applications for withdrawals, with 1.1 million approved. The remaining applications were declined due to reasons such as incorrect identity or tax numbers. This new system, known as the two-pot system, allows pension fund members to access portions of their retirement savings without penalties, resigning, or cashing out the full amount. The central bank estimates that this early access could boost gross domestic product growth by 0.1 to 0.3 percentage points. [Extracted from the article]

South African pension funds have paid out 21.4 billion rand ($1.2 billion) since new rules allowing savers early access to part of their retirement funds came into effect on September 1. The South African Revenue Service has received 1.2 million tax-directive applications for withdrawals, with 1.1 million approved. The remaining applications were declined due to reasons such as incorrect identity or tax numbers. This new system, known as the two-pot system, allows pension fund members to access portions of their retirement savings without penalties, resigning, or cashing out the full amount. The central bank estimates that this early access could boost gross domestic product growth by 0.1 to 0.3 percentage points. [Extracted from the article]

Talks between Boeing and its largest union, the International Association of Machinists and Aerospace Workers, have broken down for the third time, resulting in a continued shutdown of Boeing's commercial manufacturing base on the US west coast. Boeing claims that the union did not seriously consider their latest proposals, leading them to withdraw their offer and deem further talks unnecessary at this time. The strike has had a significant financial impact on Boeing, costing the company an estimated $100 million per day in lost revenue. The main points of contention between Boeing and the union are pay and pensions. [Extracted from the article]

Talks between Boeing and its largest union, the International Association of Machinists and Aerospace Workers, have broken down for the third time, resulting in a continued shutdown of Boeing's commercial manufacturing base on the US west coast. Boeing claims that the union did not seriously consider their latest proposals, leading them to withdraw their offer and deem further talks unnecessary at this time. The strike has had a significant financial impact on Boeing, costing the company an estimated $100 million per day in lost revenue. The main points of contention between Boeing and the union are pay and pensions. [Extracted from the article]

Boeing and its largest union, IAM District 751, are returning to wage talks after two weeks of a strike stalemate. A federal mediator has summoned negotiators for both sides to a Seattle hotel in an attempt to find a compromise and end the strike. The main point of contention is the union's demand to reinstate a defined benefit pension plan. The strike is costing Boeing an estimated $100 million per day in lost sales, while workers have lost access to company-backed health-care benefits. The resolution of the strike will depend on delicate maneuvering by both Boeing and the union, as well as the desires of the workers who are seeking better wages and benefits. [Extracted from the article]

Boeing and its largest union, IAM District 751, are returning to wage talks after two weeks of a strike stalemate. A federal mediator has summoned negotiators for both sides to a Seattle hotel in an attempt to find a compromise and end the strike. The main point of contention is the union's demand to reinstate a defined benefit pension plan. The strike is costing Boeing an estimated $100 million per day in lost sales, while workers have lost access to company-backed health-care benefits. The resolution of the strike will depend on delicate maneuvering by both Boeing and the union, as well as the desires of the workers who are seeking better wages and benefits. [Extracted from the article]

Equinix Inc. has formed a joint venture with Canada Pension Plan Investment Board and Singapore's GIC Pte to develop new data centers. The joint venture aims to raise over $15 billion in capital to purchase land and build new facilities, potentially adding more than 1.5 gigawatts of new capacity for hyperscale customers. Equinix, the largest real estate investment trust focused on data centers, has previously partnered with large investors to develop or acquire data centers. The demand for data centers has increased due to the growth of artificial intelligence. [Extracted from the article]

The US Maritime Alliance has offered to increase wages for dockworkers by almost 50% in an attempt to resume negotiations with the International Longshoremen's Union and prevent a potential strike at East Coast and Gulf ports. The offer includes doubling employer contributions to retirement plans, improving healthcare options, and maintaining the current language on automation. The dockworkers union has not yet confirmed awareness of this offer. Negotiations have been stalled since June due to disagreements on wages and automation. [Extracted from the article]

South Korea's National Pension Service will be able to triple its advance foreign currency purchases to $3 billion per month starting in October. This increase is aimed at mitigating fluctuations in the foreign exchange market as the pension fund seeks to boost its overseas investments. The previous limit was set at $1 billion per month. The pension fund plans to increase its overseas investments to improve returns, and the government wants to avoid abrupt movements in the forex markets. The South Korean won has weakened by over 3% this year, and the fund's dollar demand has been cited as one of the reasons for this. The Ministry of Health and Welfare stated that the advance purchase is meant to minimize the impact on the foreign exchange market. The pension fund also plans to increase the weight of overseas stocks in its portfolio and decrease the ratio of domestic bonds. In addition, the National Pension Service will implement a "Dialog with Companies" program for overseas firms it has invested in, which involves continuous communication to encourage improvements in areas such as dividend policy, climate change, and industrial safety. [Extracted from the article]

Former Bank of Canada Governor Stephen Poloz is exploring ideas to encourage Canadian pension funds to invest more in the domestic economy. One proposal is the creation of a pooled fund that would make it easier for pension funds to make deals. Poloz has also heard suggestions that regulations for pension funds may need to be changed to allow them to play a more active role in the companies they invest in. The study comes at a time when Canada is facing weak productivity, soft business investment, and a lack of excitement in capital markets. Some pension funds may be discouraged from investing in smaller opportunities within Canada due to the high costs of making investment decisions. The pooled fund concept would allow pension plans to allocate funds to a central fund dedicated to Canadian assets, reducing costs and increasing the likelihood of investment. Poloz also mentioned the 30% rule, which restricts pension funds from holding more than 30% of the voting shares of certain companies, as a potential impediment to pension fund investments. Additionally, the privatization of larger infrastructure assets is another roadblock to pension fund investments. Canada's largest pension funds currently allocate a smaller proportion of their capital to domestic assets compared to two decades ago. The Canada Pension Plan Investment Board, for example, had 12% of its assets in Canada as of March 31, compared to around 70% twenty years earlier. Poloz's report on these issues is expected to be delivered to Finance Minister Chrystia Freeland, but it is unclear if it will be made [Extracted from the article]

Swiss voters have rejected a government proposal to reform company pension funds for the second time this year. The plan aimed to increase wage deductions and reduce retirement payouts in response to higher life expectancy. However, only 32.9% of voters supported the bill. The government now needs to develop an alternative reform to ensure the sustainability of the pension system. Additionally, citizens also voted against expanding the protection of nature reserves. [Extracted from the article]

Swiss voters have rejected a government proposal to reform company pension funds, which aimed to address the challenges posed by an aging population. The reform would have increased wage deductions and reduced retirement payouts, but only a third of the electorate supported it. The plan also included higher payments for low-earners, particularly benefiting women. This is the second time this year that a proposal to adapt Switzerland's retirement system has been rejected in a plebiscite. The government will now need to develop an alternative reform to ensure the sustainability of the pension scheme. [Extracted from the article]

The International Brotherhood of Teamsters has declined to endorse a candidate for president, citing a lack of serious commitments from both Kamala Harris and Donald Trump to prioritize the interests of working people over big business. While most labor unions have supported President Joe Biden and then shifted their support to Harris, the Teamsters have remained undecided. Internal polling data from the union showed that initially, members favored endorsing Biden, but after Harris became the Democratic nominee, the majority backed Trump. Union workers are a critical voting bloc in swing states, and while some argue that Harris has a stronger case as a union ally due to the Biden administration's actions, others believe that Trump has more support among working people. [Extracted from the article]

The International Brotherhood of Teamsters has declined to endorse a candidate for president, citing a lack of serious commitments from both Kamala Harris and Donald Trump to prioritize the interests of working people over big business. While most of the country's labor establishment has supported President Joe Biden and then shifted to support Harris, the Teamsters have proven to be a more elusive target. Internal polling data from the union showed that initially, members favored endorsing Biden over Trump, but after Harris became the Democratic nominee, the majority of respondents backed Trump. The Trump campaign hopes to maintain strong support among working people, including union members, despite organized labor leaders overwhelmingly supporting Democrats. Union workers are expected to be a critical voting bloc in key swing states. While some Teamsters members support Trump based on other issues, such as immigration, others argue that Harris has a stronger case as a union ally due to the actions of the Biden administration, including a $36 billion bailout to rescue union pension plans. [Extracted from the article]

Australian pensions Equip Super and TelstraSuper are considering merging to create a $41 billion fund. The boards of both funds have entered a merger agreement, which is expected to be completed next year pending due diligence. The Australian regulator is encouraging consolidation in the pension industry, and other mergers have recently taken place. Australia's pension system is one of the largest in the world, with assets forecasted to triple by 2048. Equip Super and TelstraSuper have a combined 225,000 members. [Extracted from the article]

According to the latest accounts filed with Companies House, the highest-paid executive at Elliott Investment Management's UK entity received £29 million ($38 million) in 2023, excluding pension contributions. This amount is over 200% higher than the previous year's compensation of £8.9 million. The UK affiliate's directors, including Nabeel Bhanji, Thomas Houlbrook, and James Stott, received a total compensation of approximately £50 million, up from £10.4 million the previous year. Elliott is known for its activism in various UK companies, such as GSK, SSE, and Taylor Wimpey. The average number of employees at Elliott's UK arm increased to 129 in 2023. [Extracted from the article]

UK pay growth has slowed to a two-year low, according to the Office for National Statistics. Average earnings excluding bonuses increased by 5.1% from the previous year, the smallest increase since 2022. Private-sector pay growth also decreased to 4.9%, the lowest in two years. These figures suggest that the Bank of England may cut interest rates again this year. The State Pension will rise by 4% in April, based on the level of earnings growth including bonuses. This increase is intended to address concerns over cuts to winter fuel subsidies for the elderly. [Extracted from the article]

Swedish pension fund Alecta has rejected most of the initial findings made by the country's financial regulator in its investigation into $3.2 billion in losses resulting from investment missteps. The pension company is being investigated for its investments in three failed niche banks in the US and a bet in Swedish property firm Heimstaden Bostad AB. Alecta's response to the Financial Supervisory Authority did not disclose the preliminary findings, but the probe has been moved to a sanction review. Alecta manages about $115 billion for a quarter of Sweden's population. [Extracted from the article]

Alimentation Couche-Tard, the parent company of 7-Eleven, is seeking support from Canadian pension funds, including Caisse de Depot et Placement du Quebec, Canada Pension Plan Investment Board, and Ontario Teachers' Pension Plan, for its proposed acquisition of Seven & i Holdings Co. The company is looking to raise several billion dollars from these co-investors through various funding options. No final agreements have been reached yet. This move reflects the increasing involvement of pension funds and sovereign wealth investors in financing major transactions. [Extracted from the article]

Alimentation Couche-Tard, the parent company of 7-Eleven, is seeking support from Canadian pension funds, including Caisse de Depot et Placement du Quebec, Canada Pension Plan Investment Board, and Ontario Teachers' Pension Plan, for its proposed acquisition of Seven & i Holdings Co. The company is looking to raise several billion dollars from these co-investors through various funding options. No final agreements have been reached yet. This move reflects the increasing involvement of pension funds and sovereign wealth investors in financing major transactions. [Extracted from the article]

Alimentation Couche-Tard, the parent company of 7-Eleven, is seeking support from Canadian pension funds, including Caisse de Depot et Placement du Quebec, Canada Pension Plan Investment Board, and Ontario Teachers' Pension Plan, for its proposed acquisition of Seven & i Holdings Co. The company is looking to raise several billion dollars from these co-investors through various funding options. No final agreements have been reached yet. This move reflects the increasing involvement of pension funds and sovereign wealth investors in financing major transactions. [Extracted from the article]

Three directors of Cbus, one of Australia's largest pensions, have left its board as the fund faces a review regarding its close ties to a construction union. The directors were nominated by the Construction, Forestry and Maritime Employees Union (CFMEU), which is currently under administration due to allegations of corruption and links to organized crime. The Australian Prudential Regulation Authority has mandated an independent review of Cbus based on regulations around fitness and propriety. This comes as pension funds in Australia are facing increased scrutiny around environmental, social, and governance issues. [Extracted from the article]

Bridgewater Associates, the world's largest hedge fund firm, has hired Ziad Hindo, the former chief investment officer of the Ontario Teachers' Pension Plan, as a senior adviser in its new total portfolio strategies department. Hindo, who spent 23 years at the Ontario fund, will report to Bridgewater's head of portfolio strategies and work closely with the co-CIOs. This hire is part of Bridgewater's efforts to expand its talent pool and improve its performance, as its Pure Alpha fund has experienced lackluster returns in recent years. [Extracted from the article]

The top law enforcement officials from 24 states have warned Brown University that they may face financial penalties if the school's trustees vote in favor of divesting from companies with close ties to Israel. The attorneys general stated in a letter to the university trustees that adopting this proposal could result in the termination of existing relationships with Brown, divestment from university debt held by state pension plans, and refraining from engaging with the university. This warning highlights the significance of the decision for Brown University, which had agreed to consider the demands of pro-Palestinian student activists as part of a deal to clear a protest encampment. The university will make a decision on the proposal by the end of September. The article also mentions that colleges across the US have faced challenges related to the Israeli-Palestinian conflict, including allegations of antisemitism and suppression of pro-Palestinian speech. [Extracted from the article]

Switzerland's government is considering increasing the country's value-added tax (VAT) to fund a recently decided increase in pensions, instead of raising wage contributions. A calculation error has resulted in an additional 3 billion francs ($3.5 billion) being available in 2033 for the national pension fund. The government believes that a boost in VAT is sufficient and that deductions from workers' salaries can remain unchanged. The final increase in the VAT rate will be determined in the autumn, and Swiss voters will need to approve it in a referendum. [Extracted from the article]

The Swiss government is considering increasing the country's value-added tax (VAT) to fund a recently decided increase in pensions, instead of raising wage contributions. A calculation error has resulted in an additional 3 billion francs ($3.5 billion) being available in 2033 for the national pension fund's deficit. The government believes that a boost in VAT is sufficient and that deductions from workers' salaries can remain unchanged. The final increase in the VAT rate will be determined in the autumn based on updated pension-fund calculations, but it will require approval from Swiss voters in a referendum. [Extracted from the article]

Australia's financial regulator, the Australian Prudential Regulation Authority (APRA), has ordered Cbus and BUSSQ, two of the country's largest pension funds, to conduct external reviews due to their close ties to a construction union facing allegations of misconduct. Both funds have representatives from the Construction, Forestry and Maritime Employees Union (CFMEU) on their boards, and the CFMEU has been under scrutiny for corruption and links to organized crime. The funds must appoint an independent party to review their compliance with regulatory standards and publish independent reports on their trustees' duty to act in the best financial interests of members. APRA is concerned about the potential impact of the allegations on the trustees. [Extracted from the article]

Caitlin Gubbels has been promoted to lead Canada Pension Plan Investment Board's global private equity group, replacing Suyi Kim who is leaving after 17 years. Gubbels, who has been with CPPIB since 2010, is currently the head of private equity fund partnerships and has a background in investment banking. CEO John Graham praised Gubbels' ability to build relationships and generate returns. Kim's departure comes after three years of leading the pension fund's private equity division. CPPIB, the largest pension manager in Canada, reported a 1% return in the last fiscal quarter with assets reaching C$646.8 billion ($472 billion). [Extracted from the article]

Australia's financial regulator, the Australian Prudential Regulation Authority (APRA), has ordered Cbus, one of the country's largest pension funds, to undergo an external review due to its close ties to a construction union facing allegations of misconduct. The union, the Construction, Forestry and Maritime Employees Union (CFMEU), has been accused of corruption and links to organized crime. Both Cbus and another fund, BUSSQ, which also has ties to the CFMEU, will be required to appoint an independent party to conduct a review of their compliance with regulatory standards. APRA is concerned about the potential impact of the allegations on the trustees' ability to act in the best financial interests of members. [Extracted from the article]

Australia's financial regulator, the Australian Prudential Regulation Authority (APRA), has ordered Cbus, one of the country's largest pension funds, to conduct an external review due to its close ties to a construction union facing allegations of misconduct. The union, the Construction, Forestry and Maritime Employees Union (CFMEU), has been accused of corruption and links to organized crime. Both Cbus and smaller fund BUSSQ, which have representatives from the CFMEU on their boards, will be required to appoint an independent party to review their compliance with regulatory standards. APRA is concerned about the potential impact of the allegations on the trustees' ability to act in the best financial interests of members. [Extracted from the article]

The UK government is considering consolidating multiple local government pension plans to create a 'Canada-style' model, according to the Times newspaper. Chancellor Rachel Reeves believes that pooling the £360 billion of assets will drive investment into infrastructure projects and generate higher returns. The consolidation is also aimed at reducing costs and fees. Reeves plans to make pension fund reform part of her first Mansion House speech in the City of London later this year. The government wants UK funds to learn from Canada's pension funds, which are known for their significant infrastructure investments. [Extracted from the article]

The Canada Pension Plan Investment Board (CPPIB) has invested £75 million ($96 million) in a structure from UK direct lender ThinCats that resembles a private collateralized loan obligation (CLO). This investment demonstrates support for the securities, which are bonds backed by private credit loans to risky companies, and is a step towards the development of a market for private credit CLOs in Europe. The ThinCats structure, valued at £700 million, holds loans to UK companies with annual revenue of up to £30 million and earnings of up to £5 million. While CLOs backed by private credit loans have not gained traction in Europe due to a smaller market and lack of borrower diversity, a challenging fundraising environment may encourage funds to tap into this new source of capital. CPPIB's investment is relatively small in the private credit market but significant compared to typical investments in private credit funds. ThinCats plans to operate structures with institutional investors as holders of the most senior tranches in the future. The loss rate on all lending by ThinCats is less than 50 basis points per year, in line with the structure's metrics, and the loans in the vehicle have an average leverage ratio of about 2.5 times earnings. [Extracted from the article]

Schroders and Phoenix Group Holdings have agreed to establish a new investment management firm called Future Growth Capital. The firm aims to invest between £10 billion and £20 billion in private assets on behalf of British pensioners over the next decade. The new investment manager will use Schroders' long-term asset fund platform and will also allocate money to innovative, growing UK businesses. This initiative aligns with the UK government's push to encourage pension plans to invest more in ways that boost the country's economy. Schroders and Phoenix are both major players in the financial industry, with Schroders being the largest standalone money manager in Britain and Phoenix being the largest long-term savings and retirement business in the UK. [Extracted from the article]

South African President Cyril Ramaphosa has signed a law that allows savers to access part of their retirement funds without having to resign or cash out their entire pension funds. The law, called the Revenue Laws Amendment Act, establishes a two-pot pension system. The National Treasury expects savers to withdraw about 28 billion rand ($1.5 billion) from their pension funds once the system is implemented. The signing of the legislation allows the Financial Sector Conduct Authority to approve changes to retirement fund rules, enabling the implementation of the two-pot system. [Extracted from the article]

The asset-management arm of Deutsche Bank, DWS Group, has observed a significant increase in demand for environmental, social, and governance (ESG) services from institutional investors. This rise in demand is driven by growing regulatory pressure to screen for ESG risks. DWS has seen a doubling in the number of ESG filters requested by institutional investors and an increase in client interactions in the first half of 2024. The trend is particularly concentrated in Europe, where investors face requirements to measure the negative impact of their investment strategies. [Extracted from the article]

Rest, one of Australia's largest pension funds, has invested $270 million in Metrics Credit Partners' real estate private credit fund. This investment is part of Rest's strategy to diversify its private markets exposure and take advantage of favorable interest rates for non-bank lenders. Other pension funds in Australia, such as AustralianSuper and Cbus, have also increased their private credit exposure. Metrics Credit Partners provides commercial property loans to residential and industrial projects, filling a funding gap left by banks due to tighter capital regulations. PGIM Inc. is also entering the market by raising a $750 million Australian real estate debt fund. [Extracted from the article]

According to a report by the Equable Institute, state and local government contributions to public pensions reached a record high last year, and investment returns are currently above average. However, the report warns that risks are increasing as pension funds increasingly invest in risky private capital strategies. The report projects that the national public pension funding shortfall will decrease this year, but it emphasizes that contributions are still not enough to offset the increase in benefit payments over the past two decades. Public pension plans are turning to riskier alternative investments, such as real estate and private equity, to compensate for outflows, which introduces new risks. [Extracted from the article]

South Africa's new pension reform, which allows savers to access one-third of their savings at any time, will lead to better retirement outcomes for individuals, according to Alexander Forbes Group Holdings Ltd. While there may be a surge in withdrawals initially, the preservation of the larger portion of savings will enable more people to retire comfortably. Currently, only 6% of South Africans can enjoy a comfortable retirement, and the average retiree can expect to earn only 16% of their working salary. The reform also allows for a one-time withdrawal of up to 30,000 rand ($1,660) as the system changes. [Extracted from the article]

The asset-management arm of Deutsche Bank, DWS Group, has observed a significant increase in demand for environmental, social, and governance (ESG) services from institutional investors. This rise in demand is driven by growing regulatory pressure to screen for ESG risks. Pension funds, in particular, have expressed interest in discussing and investing in ESG products, as well as considering ESG risk in their investments. DWS has seen a doubling in the number of ESG filters requested by institutional investors, with the trend being most concentrated in Europe. The European Parliament's policy department has also indicated that disclosures measuring the negative impact of investment strategies may become mandatory for a larger group of investors. Additionally, a recent survey found that 60% of limited partners have turned down investment opportunities due to concerns over ESG standards. The trend towards ESG is also influenced by a focus on net-zero alignment, carbon reduction, and reduced exposure to fossil fuels. However, there is still room for improvement, as the majority of occupational pension funds in Europe do not conduct environmental stress testing as part of risk management. [Extracted from the article]

South Africa's new pension reform, which allows savers to access one-third of their savings at any time, will lead to better retirement outcomes for individuals, according to Alexander Forbes Group Holdings Ltd. While there may be a surge in withdrawals initially, the preservation of the larger portion of savings will enable more people to retire comfortably. Currently, only 6% of South Africans can enjoy a comfortable retirement, and the average retiree can expect to earn only 16% of their working salary. The rule change also allows for a one-time withdrawal of up to 30,000 rand ($1,660) as the system changes. [Extracted from the article]