Singapore’s key retirement and savings plan, the Central Provident Fund (CPF), has aided the island nation in making a name for itself as a leading provider of pension and retirement funds for markets worldwide, a global report has found.
According to Building a better retirement world: insights for better outcomes in the global pension and retirement market, a report by EY, Singapore’s retirement pillar is one of the most efficient in the world.
The report conducted more than 80 interviews with pension and retirement-related professionals, including policymakers, government regulators, public and private sector plans and product providers representing 18 countries across the Americas, Asia-Pacific and Europe.
Singapore’s CPF was one of the pension and retirement systems covered in the study.
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“Pension systems present significant business opportunities in many countries and we are seeing movements and additions of broader elements for financial well-being in retirement for Singaporeans,” Brian Thung, financial services partner, EY Singapore, said.
The report also suggested seven key areas that present opportunities for pension and retirement providers globally to better deliver social policies around pensions.
These include the need to re-balance benefit expectations with financial resources, and the need for local financial markets to evolve concurrently with growth in pension assets.