You've frozen your pension plan: now, the work really begins; Freezing a defined-benefit pension plan is not a 'done deal.' Rather, it requires a prompt and urgent top-to-bottom re-evaluation that includes asset allocation and investment strategy, making active engagement by corporate financial executives critical.(benefits)

Financial Executive, September, 2005 by DeMairo, John; Lawrence, Stewart

Not a week goes by without an attention-grabbing headline about the poorly funded condition of one or another of a U.S. private pension plan, and the resulting problems inherited by the governmental agency (the Pension Benefit Guaranty Corp., known as PBGC) that insures the benefits under those programs. Indeed, as this article goes to press, Congress was considering how to reform pension-funding rules.

Regardless of what is ultimately proposed by Congress--which may have changed again by the time this is read--it will be the most significant change in pension funding rules since the enactment of the Employee Retirement Income Security Act (ERISA) in 1974. The challenge was to repair certain perceived inequities in the funding rules, and not create a new set of...

Read the rest of this article with a Free Trial at HighBeam Research.

Premium Content Partnership | HighBeam Research provides an in-depth online archive library of reference works.