Thesis (doctoral)--Universität Zürich, 1946. / Includes bibliographical references (p. 6-8).

Thesis (B.Com.Hons.) - University of Queensland, 2004. / Includes bibliographical references.

An understanding of the rationale for providing retirement schemes, their principal functions and different methods of financing them is crucial to structuring and implementing sustainable retirement schemes in sub-Saharan African (SSA) countries. The fact is that the structure of economies in this part of the world is very different from that in the developed world, in that an official social net barely exists. In the developed world most countries have some or other a form of provision for retirement for the elderly. They are provided through systems like Pay-As-You-Go (PAYG) or other forms, such as pension and provident funds, social grants, etc. However, the provision of social security in a PAYG system entails costs that are transmitted through generations. These costs arise from the methods governments use to finance the benefits promised to individuals while they are economically active. Generally, government finances the expenditure on social security obligations through current taxes (contributions), which are levied from individuals working at present to pay the benefits to retirees. The assumption is that the population and the economy grow at the same rate. However, the reality is quite different and it often happens that revenue from current contributions is not sufficient to finance the required social security expenditure. This is especially the case where the ageing population is not replaced by a corresponding population growth. Nevertheless, in most Sub-Saharan African Countries (SSA) the ageing of the population does not present an immediate problem. Therefore, the social security systems of these countries constitute different problems than those of the developed world. In the majority of SSA countries, social security faces the problem of outdated legislation with no provision for adjustment of cost of living (real replacement rates are very low) and in some other countries the provision of social security has only recently been implemented. Therefore, there is an urgent need to reform retirement programs in SSA countries, but these reforms do not necessarily imply privatisation and should preferably be implemented within existing programs. An example of reform is the introduction of a principal-agent type of management with clear management rules. To accompany this process, these countries should establish institutions for monitoring and law enforcement. At the same time they should promote the development of financial and capital markets as a necessary condition for having sustainable and attractive retirement programs. Factors like underdeveloped financial and capital markets, adverse selection problems Factors like underdeveloped financial and capital markets, adverse selection problems (intensified by low literacy rates (on average less than 54 per cent)), moral hazard and low per capita income, prevent the majority of the populations in SSA countries to find alternative ways of saving for retirement. Moreover, the growing migration of the young population in search of better living conditions has weakened the traditional or safe family social security structures and therefore, worsened the socio-economic conditions of the elderly population, especially in the rural areas. The growing and prosperous informal sector also has to be considered when policymakers rethink social security in the African continent. The need for policymakers in the African continent to rethink current social security structures is fuelled by research results confirming that social security plays an important role in the performance of economies. World Bank reports in 1994 in particular, proposed different ways of managing retirement programs and a three pillars system was suggested. One possibility is a system managed by government (similar to the present PAYG system), the second privately managed (individual accounts) and the third voluntary saving (personal saving through financial institutions, real estates, etc.). However, the debate regarding proposed reforms continues and it seems that the optimal solution is still to be devised. Research indicates that in the case of SSA countries, it is recommended that reforms start within existing systems. There are various reasons for this idea. Firstly, due to the high uncertainty of output, new systems could have far reaching macroeconomic implications. Secondly, microeconomic effects on the demand side of the economy could influence the labour market due to the availability of abundant and cheap labour. Thirdly, bailout politics are abundant in many SSA countries, which may weaken privately managed social security programs (like individual accounts). This study analysed 14 SSA countries using panel data. The results indicate that social security programs positively affect saving in the SADC countries, but in West Africa and the full country sample, savings is affected negatively. These results have important policy implications in that West African countries need to reform their current social security systems in such a way, that they contribute to saving and the development of financial and capital markets. In the SADC countries, however, more emphasis should be placed on the development of financial and capital markets. The study finds adverse results in the growth model. In the pooled model social security crowds-out growth in per capita GDP in West African countries, but it crowds-in growth in per capita GDP in the SADC countries as well as in the full country sample. These results confirm the findings of other studies namely that no conclusive results exist with regard to the effect of social security on the performance of economies. <p.The model results indicate that social security has a positive effect on fertility. Thus, the results contrast the widely accepted claim that social security reduces fertility on the basis that parents tend to rely less on children as a source of income during their retirement if the social net takes care of them. This phenomenon could be caused by the perception that social security in its current format in SSA countries does not have the potential to replace children as a source of income during retirement. Another factor that may influence thisvii result is because of low coverage rates, the preference of many excluded individuals, mainly in the rural areas and informal sector, is still to rely on their children as a source of old age security. Finally, the study concludes that in sub-Saharan African countries policymakers have to pay more attention to institutional arrangements that would accommodate the implementation of a proper social security system. The starting point should be reforms of existing retirement schemes. Reforms should be initiated within the existing schemes, through the introduction of the principal-agent management model with strong regulation and monitoring to ensure sound management principles. The informal sector poses a major challenge and should be included in a social security system also allowing competition from possible providers of social security products to the informal sector. The redesign of retirement schemes should be aimed at regional integration with scale economies to be captured both at country and regional levels. This implies that the number of operators in the industry should also be considered to avoid excessive costs related to marketing and the administration of the funds. Another important conclusion is that retirement reform programs should form part of the overall strategies of poverty alleviation currently being implemented in many sub-Saharan countries. / Thesis (PhD (Economics))--University of Pretoria, 2008. / Economics / PhD / unrestricted

To what extent does the Price to Earnings Ratio affect the investment decisions of those who manage Trusteed Pension Funds in Canada? Secondly: What are the dangers of ignoring this index when trading in common stocks for pension plans? METHODOLOGY A complete study of Canadian pension funds and the methods of funding was made in order to get a thorough understanding of pensions in Canada. Trusteed pensions fall into two categories: - the Money Purchase Plans. - the Definite Benefit Plans. The Trusteed pension was studied from the point of view of costs and benefits, emphasizing the importance of investment yields. A study of the Price Earnings Ratio per se., was made. The study includes the examination of accounting methods used to determine earnings per share. The next step was to determine and understand the relationship of the Price Earnings Ratio to corporate growth. A further step was to determine the variables contributing to sustained corporate growth. A study of the usefulness of the Price Earnings Ratio as a valuation tool was made, based on the works of leading writers in this field. The use made of the Price Earnings Ratio by investment managers in practice was examined, as well as the whole decision making process. This was achieved through personal interviews and by questionnaires. From the information received, a summary was prepared on the decision making process and the role of the Price Earnings Ratio in that process. Various data concerning pension portfolio stocks, Price Earnings Ratios and performance, was collected and summarized in the appendices. CONCLUSIONS It was concluded that: - Considering the cost of a pension, the two most important variables are expense and earnings; of the two, investment yield or earnings has the greatest effect on reducing costs. - In determining earnings per share, not only primary E.P.S. but also fully diluted E.P.S. should be determined and compared. - The Price Earnings Ratio is a concept consistent with the present value formulae and assumes combinations of earnings, growth, duration, discount and dividend payouts. It is important that investment managers understand this. - Sustainable growth is dependent primarily on margin, turnover, leverage and taxes. - Statistical studies have shown that low Price Earnings Ratio stocks consistently outperform high Price Earnings Ratio stocks. - The decision making process places great emphasis on Fundamental Analysis and the Price Earnings Ratio. - When considering the Price Earnings Ratio, the analyst will study it in relation to the popular indices, other companies in the industry and in relation to the companies projected growth rates. RECOMMENDATIONS Unless there is strong evidence to the contrary, a stock with a low Price Earnings Ratio should be purchased in preference to a stock with a high Price Earnings Ratio, particularly if the stock meets these conditions: - A consistently high earnings record in past years. - There is no evidence of an earnings decline in future years. - The quality of management is high. - There is a relatively high margin and turnover. / Business, Sauder School of / Graduate

The purpose of this study is to empirically test the hypothesis that the aggregate activity of pension funds in the Canadian equity market has created a segmentation of that market. It is possible that this aggregate activity has a measurable impact on the market price of the stocks purchased. If it can be shown that pension funds do command a relatively strong position in the market for Canadian equities then a study of this nature would be justified. The importance of pension funds in recent years will be discussed and any trends of significance to the development of the Canadian equity market identified. The empirical study will cover the period 1964-72 and will determine whether the concentration of pension fund investments in a small number of Canadian common stocks has in fact had a measurable impact on the market prices of these stocks. If pension fund activity was bidding up the market price of these stocks one would expect this to be indicated in a significantly different rate of return for these stocks in comparison with other non-pension stocks. / Business, Sauder School of / Graduate

No description available.

No description available.

D.Com. (Economics) / The objective of this dissertation was to examine the economic relevance of the actuarial. practice of investment Performance measurement and the valuation of the assets and liabilities of the South African private pension funds. South Africans are great contractual savers.

The dissertation deals with four issues affecting Employer Sponsored Pension Plans: (a) the rationale for their existence and growth, (b) the impact of taxation on funding decisions, (c) the development of an investment model for such funds, and (d) the evaluation of the historical investment performance of 83 Canadian pension funds. The proposed investment model integrates the fund's assets with the firm's assets. It is operationalized for four Canadian firms, using a universe of 192 common stocks and eleven bond portfolios. The results indicate that the optimal pension fund is firm-specific, in terms of both asset mix and security selection. The evaluation of investment performance emphasizes the equity portfolios of the 83 Canadian funds. The results show non-superior performance by these funds; the conclusions are robust across holding periods, benchmarks, performance measures and time periods. The study has major implications for the funding and investment policies of the pension funds and their investment performance.

Thesis (Ph.D.)--University of Melbourne, Faculty of Economics and Commerce, 2008. / Typescript. Includes bibliographical references (leaves 310-326)