Australian foresight of retirement market

Despite the global financial crisis, the global retirement market is expected to grow by 66% by 2020.

Australia's share of the world retirement market in 2009 was 3.5% - more than Japan at 3.2%, Northern Europe at 3.1%, Southern Europe at 3.0%, Asia at 1.8% and Central/Eastern Europe at 0.4%. The global markets larger than Australia include the United States at 50.5%, Western Europe at 20.1%, and the United Kingdom at 11.5%.

The global financial crisis affected most countries' retirement assets. Australia's pool of retirement funds fell 11% between 2007 and 2008. However, the growth in Australia's retirement assets is expected to excel those of all other countries, except Greece (because it's coming out of a low base).

Most countris have commenced reforms to strengthen their retirement markets. In Australia, the reforms began two years ago, which will continue to strengthen until it overtakes Germany and the Netherlands. In 2009, Australia had the sixth largest pool of retirement assets. By 2020, Australia is set to take fourth place, behind the United States, the United Kingdom, and France.

The new reforms, particularly in Asia, include netting retirement funds from contributions, rather than investment performance. As a result, Asia is estimated to grow 16.8% per annum in 2020.

The aging population and the flood of baby boomer retirees is putting pressure on retirement schemes in all developed countries, including Australia. Reform trends in Europe and the United States over the past 10 years included the expansion of mandatory occupational pension schemes and a shift from defined benefit to defined contribution plans. Australia implemented these reforms much sooner than other countries and its continued strong growth in superannuation assets is testament to the foresight of these early reforms.

Comments

Pir-E-Kamil - The Perfect Mentor by Umera Ahmed: book review

The Perfect Mentor pbuh (2011) is set in Lahore and Islamabad in Pakistan. The novel commences with Imama Mubeen in medical university. She wants to be an eye specialist. Her parents have arranged for her to marry her first cousin Asjad. Salar Sikander, her neighbour, is 18 years old with an IQ of 150+ and a photographic memory. He has long hair tied in a ponytail. He imbibes alcohol, treats women disrespectfully and is generally a “weird chap” and a rude, belligerent teenager. In the past three years he has tried to commit suicide three times. He tries again. Imama and her brother, Waseem, answer the servant’s call to help Salar. They stop the bleeding from his wrist and save his life. Imama and Asjad have been engaged for three years, because she wants to finish her studies first. Imama is really delaying her marriage to Asjad because she loves Jalal Ansar. She proposes to him and he says yes. But he knows his parents won’t agree, nor will Imama’s parents. ...

The acacia thorn trees of Kenya

There are nearly 800 species of acacia trees in the world, and most don’t have thorns. The famous "whistling thorn tree" and the Umbrella Thorn tree of Kenya are species of acacia that do have thorns, or spines. Giraffes and other herbivores normally eat thorny acacia foliage, but leave the whistling thorn alone. Usually spines are no deterrent to giraffes. Their long tongues are adapted to strip the leaves from the branches despite the thorns. The thorny acacia like dry and hot conditions. The thorns typically occur in pairs and are 5-8 centimetres (2-3 inches) long. Spines can be straight or curved depending on the species. MARTINA NICOLLS is an international aid and development consultant, and the author of:- Similar But Different in the Animal Kingdom (2017), The Shortness of Life: A Mongolian Lament (2015), Liberia’s Deadest Ends (2012), Bardot’s Comet (2011), Kashmir on a Knife-Edge (2010) and The Suda...

Shindi: the Georgian Cornelian cherry

The Cornelian cherry – shindi in Georgian – is a fruit with medicinal and decorative properties. It was grown from ancient times, according to the International Society for Horticultural Science (ISHS). It is also commonly called the European cornel. It is native to southern Europe from France to Ukraine as well as Armenia, Azerbaijan, Georgia, Iran, Turkey, Israel, Lebanon, and Syria. The Cornelian cherry tree ( Cornus mas ) can be grown in orchards, but it is often seen in the forests of Georgia where it grows up to 1,350 metres above sea level. It is a medium to large deciduous tree, growing from 5-12 metres tall. The flowers are small with four yellow petals in clusters, which flower in February and March. The Cornus mas has three botanical varieties: (1) var. typica Sanadze with cylindrical red fruits, (2) var. pyriformis Sanadze with pear-shaped red fruits, and (3) var. flava vest with yellow fruits. The fruits are oblong red drupes about 2 centimetres ...

FEAST OR FAMINE

Search This Blog