Page 15 - Turkinsurance Digital Magazine

13

Results have been announced for the Global Pensions

Index, which is prepared jointly by, Mercer, the
leading global human resources and management
consultancy company, CFA Institute and Monash
Center for Financial Studies (MCFS). The
Netherlands and Denmark retain their first and second

place respectively as countries with the best pension
systems, and retained their A-grade. According to
the results of the index, the impact of COVID-19 on

the provision of future pensions around the world
will be negative due to reduced contributions, lower
investment returns and higher government debt.

As a company that offers solutions to help corporate customers manage
the requirements of their changing workforce in terms of health, assets and
career, Mercer has shared the results of Global Pensions Index 2020. Ac-
cording to the 12th annual Mercer CFA Institute Global Pension Index,
the widespread economic impact of COVID-19 is heightening the financial
pressures which retirees face, both now and in the future. Coupled with in-
creasing life expectancies and the rising pressure on public resources to sup-
port the health and welfare of ageing populations, COVID-19 is aggravating
retirement insecurity.

Comparing 39 retirement income systems across the globe against more
than 50 indicators, Global Pensions Index 2020 indicated that the Nether-
lands had the highest index value with 82.6, while Thailand had the lowest
index value with 40.8. It was Belgium’s and Israel’s first time in the index
this year. Joining the index for the second time in 2020, Turkey was listed
as 37th in the overall ranking.

Turkey shows room for improvement

Turkey listed 34th in terms of “Adequacy Sub-Index with 44.2 index points,
36th in terms of “Sustainability Sub-Index” with 24.9 index points, and