As an answer to the U.K. pension crises, Britains were urged to go forth and multiply according to this report by the U.K. Guardian: “Pensions crisis? Just have babies.” Also, the BBC News reports: “Tories fear ‘birth dearth.'” According to the articles, shadow work and pensions secretary David Willetts gave a speech on Tuesday to launch a pamphlet for the Centre for European Reform called “Old Europe? Demographic Change and Pensions Reform.” He argued that the European Union would see in the next half-century an extra 40 million people aged over 60, along with a reduction of 40 million in those aged 15-60. Quote of Note: “Europe faces a birth dearth. Nobody wants to force women to have more children than they wish. . . But we have created an environment in which people are having fewer children than they aspire to.”
The Wall Street Journal is reporting today that the “Financial Accounting Standards Board has voted today to review the rules on how companies measure benefit obligations in cash-balance pension plans” in this article: “FASB to Review Regulations On Cash-Balance Pensions.” (Subscription required.) According to the article, this cash balance plan review by FASB is separate from a wider-ranging pension initiative currently under way by the board to increase the amount of information companies report about their traditional pension plans. The board earlier this month issued a set of draft rules for increasing disclosure, and has said it wants to put them into place by the end of the year.
Today’s Journal also has a great article: “Choosing a College-Savings Plan.” Unfortunately if you want a copy of the nifty chart featuring the different kinds of college savings plans (that comes with the article) you will have to buy a hard copy of today’s issue, i.e. the online version does not have the chart.
“State treasurers and pension fund leaders urged the New York Stock Exchange to make sweeping changes in governance Wednesday following a pay scandal that forced the resignation of chairman Dick Grasso last week”: The Seattle Post-Intelligencer is reporting in this article entitled “Pension funds want big changes at NYSE.” In a related article, Newsday.com reports: “Pension Fund Managers Urge NYSE Reforms.”
More later . . .