Products August 8, 2007

UBS Takes Active Approach to Target Date Funds

August 8, 2007 (PLANSPONSOR.com) - UBS Global Asset Management has come out with a new generation of UBS TargetRetirement Collective Funds that use an actively managed approach.
Reported by

According to the press release about the revamped product, the two changes to UBS’ target date funds are:

  • The   funds implement an active asset allocation investment strategy based on a 25-year time-tested process, rather than using set allocations. Allocation decisions are dynamic and are driven by the firm’s risk/return expectations for global capital markets.
  • Rather than using stocks as the only way to increase or decrease the overall market risk profile of the funds, UBS actively manages the four major retirement risks faced by participants: the risk of not accumulating enough money; the risk of a downturn in market performance near retirement; the risk that inflation will erode purchasing power; and the risk of outliving retirement savings.

The firm is also looking into features such as including a “guaranteed income for life” option provided by an insurance company to help manage longevity risk, according to a press release.

Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.

“The prevailing ‘autopilot’ mentality should apply to the participant, but not the investment manager,” said Drew Carrington, head of UBS Global Asset Management’s Defined Contribution and Retirement Solutions Group, in the press release. “Active asset allocation and management of the key participant retirement risks are required to deliver optimal participant outcomes.”

Benefits August 7, 2007

Women More Likely to Say Employers Aid Work/Life Balance

August 7, 2007 (PLANSPONSOR.com) - Women were more positive (58%) than men (55%) in their perceptions of company efforts to help them balance work and life, according to a recent survey by Kenexa Research Institute.
Reported by

According the survey, females at small companies (100 – 249 workers) and large companies (5,000 – 9,999 employees) are far more satisfied with their company’s efforts at striking a balance between work and life than were men.

Get more!  Sign up for PLANSPONSOR newsletters.

In fact, 61.5% of women at small companies compared to 54.3% of men have this view. At large companies, 60.1% of females versus 51.1% of males say their companies allow for a work/life balance.

The greatest disparities between how men and women view their company’s support in a work/life balance exist in executive/senior manager (4.5%), clerical (5%), and operative (13.5%) positions.

In terms of industry, the greatest disparities between males and females occur in: accounting/legal (15.1%), other personal services (9.1%) and education (6.8%).

As both males and females get older, they become less willing to say their employer allows for such a balance, with the exception of employees that are 65 years and older.

For the full survey results visit http://www.kenexa.com/en/AboutUs/Press/2007/07JUL25.aspx .

«