Paul Cavazos, CIO of American Beacon Advisors, takes the helm.
Paul Cavazos
The Committee on Investment of Employee Benefit Assets (CIEBA) has been quite active this year. Most recently, Paul Cavazos, chief investment officer of American Beacon Advisors, took the helm as the new chair of the group of corporate retirement plan investors for the next two-year term. Former Chair Douglas Brown, chief investment officer of the energy corporation Exelon, will be staying on the group’s executive board.
Brown told
CIO, “I am so pleased that Paul will be taking the reins of CIEBA for the next two years. He is a very experienced investor and a long-time CIEBA member who has not only served as CIEBA’s vice chair for the past two years, but has also led some of our key committees. He has the experience and judgment required to lead CIEBA as we go forward in these challenging times.”
PBGC Programs in Very Different Positions
The single-employer program is improving, but Director Gordon Hartogensis says it’s clear legislative help is needed for the multiemployer program.
Reported by
The Pension Benefit Guaranty Corporation (PBGC) has released its Fiscal Year (FY) 2020 Annual Report, which notes, among other things, that the expected insolvency date of the agency’s multiemployer insurance program has been delayed from FY 2025 to sometime in FY 2026.
Meanwhile, the single-employer insurance program is improving, driven primarily by investment income and premium income.
The multiemployer program remains severely underfunded, with liabilities of $66.9 billion but only $3.1 billion in assets as of September 30. This resulted in a deficit, or negative net position, of $63.7 billion, compared with $65.2 billion a year earlier. The decrease in the program’s deficit is primarily due to the enactment of the Bipartisan American Miners Act of 2019, which is expecte
Does Senate Hearing Foreshadow More Retirement Reform?
Commenters at a Senate Finance Committee hearing held Wednesday sure hoped so and they had a lot of ambitious ideas.
The U.S. Senate Finance Committee hosted a lengthy hearing Wednesday on the state of the nation’s retirement planning system, with the specified goal of “investigating challenges to Americans’ retirement security.”
Following opening statements from Senators Rob Portman, R-Ohio, and Sherrod Brown, D-Ohio, in which the lawmakers voiced optimism about the potential for achieving retirement reform in 2021, the main part of the hearing included comments from four well-known retirement industry thought leaders. They were Scott Barr, a financial adviser with Edward Jones; Eric Stevenson, president, retirement plans, Nationwide; Michael P. Kreps, principal, Groom Law Group; and Joshua Luskin, president, National Association of Government Defined Contribution Administrators (NAGDCA).