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Uncertainties loom for Canada Pension Plan
C.D. Howe Institute report says it could lead to higher contribution rates or lower benefits December 16, 2020 by Plant Magazine
Uncertainties lie ahead for the Canada Pension Plan that could lead to higher contribution rates or lower benefits, says a new report from the C.D. Howe Institute.
In “Sources of Comfort and Chills: What We Can Learn from CPP Valuation Reports,” author Bob Baldwin looks at Canada Pension Plan (CPP) valuation reports and explores the financial sustainability of the CPP under various risk scenarios.
“I have deep-seated concerns that the risks involved in managing the CPP are poorly understood,” says Baldwin. “If unanticipated negative risks materialize, the Plan will be subject to significant political as well as economic risks.”