Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies
Since the introduction of the KiwiSaver scheme in New Zealand in 2006, several countries have implemented, or are in the process of implementing, voluntary funded pension systems with automatic enrollment features. Since most of the literature has...
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World Bank, Washington, DC
2019
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| Online Access: | http://documents.worldbank.org/curated/en/368081549376313709/Pension-Funds-with-Automatic-Enrollment-Schemes-Lessons-for-Emerging-Economies http://hdl.handle.net/10986/31230 |
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okr-10986-312302022-09-19T12:17:14Z Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies Rudolph, Heinz P. PENSION FUNDS AUTOMATIC ENROLLMENT CONTRIBUTORY PENSIONS EMERGING MARKET ECONOMIES PENSION REFORM Since the introduction of the KiwiSaver scheme in New Zealand in 2006, several countries have implemented, or are in the process of implementing, voluntary funded pension systems with automatic enrollment features. Since most of the literature has focused on countries with the common law tradition, including the United Kingdom and the United States, this note analyzes cases of countries with the civil code tradition, including Turkey, Poland, the Russian Federation, Chile, Brazil, and the Province of Quebec in Canada. This sample includes mostly emerging economies, with reforms at different stages, from those that have already been completed to those that are about to start discussions in their parliaments. Although they are not a substitute for necessary parametric reforms, automatic enrollment schemes offer the possibility of improvements in future retirement income for a significant part of the labor force. This note stresses that the paternalistic approach of automatic enrollment schemes imposes a great degree of responsibility on governments and requires careful consideration of the design of the system, including the industrial organization of the pension fund industry and default investment strategies. Sufficient time and resources for preparing communication and educational campaigns has played a key role in achieving high rates of participation. 2019-02-07T17:43:04Z 2019-02-07T17:43:04Z 2019-02 Working Paper http://documents.worldbank.org/curated/en/368081549376313709/Pension-Funds-with-Automatic-Enrollment-Schemes-Lessons-for-Emerging-Economies http://hdl.handle.net/10986/31230 English Policy Research Working Paper;No. 8726 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Europe and Central Asia Latin America & Caribbean Brazil Canada Chile Poland Russian Federation Turkey |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
PENSION FUNDS AUTOMATIC ENROLLMENT CONTRIBUTORY PENSIONS EMERGING MARKET ECONOMIES PENSION REFORM |
| spellingShingle |
PENSION FUNDS AUTOMATIC ENROLLMENT CONTRIBUTORY PENSIONS EMERGING MARKET ECONOMIES PENSION REFORM Rudolph, Heinz P. Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| geographic_facet |
Europe and Central Asia Latin America & Caribbean Brazil Canada Chile Poland Russian Federation Turkey |
| relation |
Policy Research Working Paper;No. 8726 |
| description |
Since the introduction of the KiwiSaver
scheme in New Zealand in 2006, several countries have
implemented, or are in the process of implementing,
voluntary funded pension systems with automatic enrollment
features. Since most of the literature has focused on
countries with the common law tradition, including the
United Kingdom and the United States, this note analyzes
cases of countries with the civil code tradition, including
Turkey, Poland, the Russian Federation, Chile, Brazil, and
the Province of Quebec in Canada. This sample includes
mostly emerging economies, with reforms at different stages,
from those that have already been completed to those that
are about to start discussions in their parliaments.
Although they are not a substitute for necessary parametric
reforms, automatic enrollment schemes offer the possibility
of improvements in future retirement income for a
significant part of the labor force. This note stresses that
the paternalistic approach of automatic enrollment schemes
imposes a great degree of responsibility on governments and
requires careful consideration of the design of the system,
including the industrial organization of the pension fund
industry and default investment strategies. Sufficient time
and resources for preparing communication and educational
campaigns has played a key role in achieving high rates of participation. |
| format |
Working Paper |
| author |
Rudolph, Heinz P. |
| author_facet |
Rudolph, Heinz P. |
| author_sort |
Rudolph, Heinz P. |
| title |
Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| title_short |
Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| title_full |
Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| title_fullStr |
Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| title_full_unstemmed |
Pension Funds with Automatic Enrollment Schemes : Lessons for Emerging Economies |
| title_sort |
pension funds with automatic enrollment schemes : lessons for emerging economies |
| publisher |
World Bank, Washington, DC |
| publishDate |
2019 |
| url |
http://documents.worldbank.org/curated/en/368081549376313709/Pension-Funds-with-Automatic-Enrollment-Schemes-Lessons-for-Emerging-Economies http://hdl.handle.net/10986/31230 |
| _version_ |
1764473845827239936 |