Randle, TonyRudolph, Heinz P.2014-05-152014-05-152014-03https://hdl.handle.net/10986/18355Defined contribution pension systems have faced criticism in the wake of the financial and economic crisis for not delivering adequate and sustainable pension incomes at retirement. Much of the problem has centered around the misalignment of pension fund management companies and the interests of pension fund members, with the focus on short-term volatility rather than delivering adequate pension income over the long term. Although pension fund supervisors in emerging economies have attempted to correct for these market failures, they have not focused sufficiently on the ultimate long-term pension income objective. The paper suggests that in order to have a meaningful impact on future pensions, the supervision of defined contribution pension systems needs to take a more proactive role in minimizing pension risk. This objective would require ensuring that investment risks are aligned with the probability of achieving a target pension at retirement age. The paper also suggests that a proper institutional design of the pension fund industry and intensive use of market surveillance are efficient tools for dealing with most of the operational risks of funded pension fund schemes in emerging economies.en-USCC BY 3.0 IGOACCESS TO CAPITALACCOUNTINGANNUAL RETURNSAPRASSET ALLOCATIONASSET CLASSASSET MANAGEMENTASSET MANAGERSAVERAGE INTERESTAVERAGE INTEREST RATEBANK DEPOSITSBANK POLICYBANKING INDUSTRYBANKSBASIC PENSIONBASIS POINTSBOND RATESBONDSBOOK ENTRYCAPITAL ADEQUACYCAPITAL MARKETCAPITAL REQUIREMENTCAPITAL REQUIREMENTSCENTRAL BANKCENTRAL DEPOSITORYCONSERVATIVE INVESTMENTCONTRIBUTIONCONTRIBUTION RATECONTRIBUTION SCHEMESCONTRIBUTION SYSTEMSCONTRIBUTIONSCORPORATE GOVERNANCECREDITORSCUSTODIAN BANKDEFINED BENEFIT PENSIONDEFINED CONTRIBUTION PENSIONDEPOSITDERIVATIVEDERIVATIVE INSTRUMENTSDERIVATIVE PRODUCTSDERIVATIVESEARNINGSELIGIBLE INSTRUMENTSEMERGING ECONOMIESEMERGING MARKETSEQUITIESEQUITY INSTRUMENTSEQUITY MARKETSFINANCIAL EDUCATIONFINANCIAL INSTITUTIONSFINANCIAL INSTRUMENTSFINANCIAL LITERACYFINANCIAL PERFORMANCEFINANCIAL SECTORFINANCIAL STATEMENTSFIXED INCOMEFIXED INCOME PORTFOLIOFRAUDFUND MANAGEMENTFUND MANAGERSFUTURE VALUEGLOBAL CAPITALGLOBAL CAPITAL MARKETSGOVERNMENT BONDGOVERNMENT BONDSGOVERNMENT GUARANTEESGOVERNMENT SECURITIESHOLDINGINCOME INSTRUMENTSINFLATIONINFLATION LINKED BONDSINFLATION RATEINFORMATION SYSTEMSINSURANCEINSURANCE COMPANIESINSURANCE PRODUCTSINTEREST RATEINTEREST RATE RISKINTEREST RATESINTERNAL AUDITSINTERNATIONAL BANKINVESTINGINVESTMENT ALTERNATIVESINVESTMENT COMPANIESINVESTMENT COMPANYINVESTMENT DECISIONSINVESTMENT GUIDELINESINVESTMENT MANAGEMENTINVESTMENT PERFORMANCEINVESTMENT POLICIESINVESTMENT PROCESSINVESTMENT REGULATIONINVESTMENT REGULATIONSINVESTMENT RESTRICTIONSINVESTMENT RETURNSINVESTMENT RISKINVESTMENT RISKSINVESTMENT STRATEGIESINVESTMENT STRATEGYLABOR FORCELARGE COMPANIESLEGAL FRAMEWORKLEVEL OF CONTRIBUTIONSLIQUID ASSETSLIQUIDITYLIQUIDITY RISKLONG-TERM GOALLONG-TERM INVESTORSMANDATORY PENSION FUNDSMARGIN REQUIREMENTSMARK-TO-MARKETMARKET DISCIPLINEMARKET FAILUREMARKET FAILURESMARKET OVERSIGHTMARKET PARTICIPANTSMARKET PRACTICESMARKET RISKMARKET SURVEILLANCEMATURITIESMATURITYMINIMUM CAPITAL REQUIREMENTMONETARY POLICYMONIESMUTUAL FUNDSNOMINAL YIELDPENSIONPENSION ASSETPENSION ASSETSPENSION AT RETIREMENTPENSION BENEFITSPENSION FUNDPENSION FUND ASSETSPENSION FUNDSPENSION INCOMEPENSION INCOMESPENSION INVESTMENTPENSION PLANPENSION PLANSPENSION PROVIDERSPENSION REFORMSPENSION SCHEMESPENSION SECTORPENSION SYSTEMPENSION SYSTEMSPENSIONERSPENSIONSPERFORMANCE MEASUREMENTPORTFOLIOPORTFOLIO ALLOCATIONPORTFOLIO ALLOCATIONSPORTFOLIO CHOICEPORTFOLIO PERFORMANCEPORTFOLIOSPORTFOLIOS OF PENSION FUNDSPRIVATE PENSIONPRIVATE PENSION FUNDPROBABILITYPROTECTION OF INVESTORSPRUDENTIAL REGULATIONPRUDENTIAL STANDARDRATE OF INFLATIONRATE OF RETURNRATES OF RETURNRATES OF RETURNSREGULATORY AUTHORITYREGULATORY FRAMEWORKREINVESTMENTREINVESTMENT RISKREPLACEMENT RATEREPLACEMENT RATESRESEARCH ASSISTANCERESERVERESERVE REQUIREMENTRESERVE REQUIREMENTSRESERVESRETIREMENTRETIREMENT AGERETIREMENT INCOMERETURNRETURNSRISK ASSESSMENTRISK BEHAVIORRISK MANAGEMENTRISK MANAGEMENT SYSTEMRISK MANAGEMENT SYSTEMSRISK PROFILERISK PROFILESSECURE PENSIONSSECURITIES TRANSACTIONSSENIORSETTLEMENTSHAREHOLDERSHAREHOLDERSSHORT-TERM INTEREST RATESSOLVENCYSTOCK MARKETSUPERVISORY AGENCIESSUPERVISORY AGENCYSUPERVISORY AUTHORITIESSUPERVISORY AUTHORITYTERM DEPOSITSTRADINGTRANSPARENCYTREASURYTREASURY RATESTRUSTEESTYPES OF INVESTMENTSTYPES OF PENSIONUSE OF DERIVATIVESVALUABLEVALUATIONVALUATIONSVALUE OF CONTRIBUTIONSVALUE OF PENSIONSWAGEYIELD CURVEYIELD CURVES10.1596/1813-9450-6813