The ABCs of NDCs
Loading...
Date
2019-07-22
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
Nonfinancial defined contribution (NDC) pension schemes have been successfully implemented since the mid-1990s in a number of European countries (Sweden. Italy, Latvia, Poland, and Norway). The NDC approach features the lifelong contribution–benefit link of a financial defined contribution scheme, but is based on the pay-as-you-go format. An NDC approach implemented by the rulebook can manage the economic and demographic risks inherent to a pension scheme and by design creates financial sustainability. This paper offers a nontechnical introduction to NDC schemes, their basic elements and advantages over nonfinancial defined benefit schemes, the key technical frontiers of the approach, and the experiences of countries with NDC schemes.
Description
Keywords
Analisi delle politiche, Pensioni, Riforma pensionistica
Citation
Holzmann R. (2019), The ABCs of NDCs, Roma, INAPP, WP, n. 19 <https://oa.inapp.org/xmlui/handle/20.500.12916/454>