INCLUDING - CalPERS reassures members over budget deadlock; NPRF reports terrible H1; Quebec bill 68 gets go ahead; PBGC injection to Norwegian-owned fund
The Irish National Pensions Reserve Fund (NPRF) reported a -12% return in H1 2008 with a -1.7% for Q2, bringing the fund value to Ä19.4bn (US$ 30.51bn) at the end of June. In its 2007 report, the fund said it had terminated Capital International's Ä789m global equity mandate and a Ä300m Japanese equity mandate held by JP Morgan Asset Management, without stating its reasons for doing so.
Quebec's Bill 68 on supplemental pension plans has received assent but contains last minute surprise amendments which may prove problematic, said Watson Wyatt. The bill states DB and hybrid plans cannot limit or reduce the crediting of service, accumulation or value of benefits and employers cannot reduce or limit their obligations regardless of withdrawing or terminating the plan.
The Pension Benefit Guaranty Corp (PBGC) will add $17.3m to the Norwegian-owned Elkem Metals pension scheme, with a view to providing an extra $22m should the PBGC eventually take over the plan. Unlike other situations involving the PBGC, the Elkem scheme is a going concern and the company has agreed to add its own top-up and reduce plan risk.
ïï¿½¬ Investors have flocked to European and international developed equities according to ishares. The ETF provider said it had seen inflows of over US$3bn in the last six weeks to these markets as fears of a global economic slowdown hit investor confidence towards emerging markets.
PwC, KPMG, EY and Deloitte must break up their consultancy and audit businesses into distinct firms to provide greater focus on the "most challenging and objective audits", the competition watchdog has said.
The Department for Work and Pensions (DWP) has released its first batch of guidance setting out how the guaranteed minimum pension (GMP) conversion legislation may be used to resolve unequal payments.
This week's top stories include the government spending £800,000 on a Gogglebox advert and MPs writing to The Pensions Regulator about its engagement with the Railways Pension Scheme.