SOUTH AFRICA - More than half of 15-year olds won't live to the claim their pensions due to the rampant HIV/AIDS epidemic in South Africa, a report has found.
A massive 11% (5.4 million) of the nation's population is infected with either HIV or AIDS, driven largely by the 15-24 age group, the Demographic Impact of HIV/Aids in South Africa: National and Provincial Indicators report found.
This will have a significant impact on the nation's pension industry. In an earlier interview with Global Pensions, Jonathan Dixon, chief director at the South African Treasury, described it as "a major factor" when looking at things like modelling.
"Quite frankly we need to do some major work on that. In terms of mortality rates it is an interesting issue because your average mortality age comes down," said Dixon. "But it is a strange pattern where it mainly affects people in the productive stage of their lives. Those individuals who do reach retirement age are not impacted by it. They are living longer and are part of the same international trends in longevity."
Peter Moyo, managing director of Alexander Forbes, added: “If we understand the actual profile of a fund we can tell that fund to push up its insured benefits and push down the retirement benefits because the chances are a lot of the members are not going to retire.”
The Pensions Regulator (TPR) and Labour MP Stephen Kinnock and will listen to the experiences of steelworkers when transferring their pensions away from the British Steel Pension Scheme (BSPS) next week in Port Talbot.
Just Group has acquired a 75% stake in the holding company of Corinthian Pension Consulting in a bid to strengthen its professional defined benefit (DB) advisory services.
The Pensions Regulator (TPR) has exercised its production order power under the Proceeds of Crime Act 2002 for the very first time as part of a fraud investigation.
The ITN Limited Pension Scheme has named Trafalgar House as its administrator for an initial term of five years.