BROWSE

Underfunded Pension Plan

What is 'Underfunded Pension Plan'

A company retirement plan that has more liabilities than assets. In other words, the money needed to cover current and future retirements is not readily available. Hence, there is no assurance that future retirees will receive the pensions they were promised or that current retirees will continue to get their previously established distribution amount.

Explaining 'Underfunded Pension Plan'

Pension plans can become underfunded in a variety of ways. Interest rate changes, a weak stock market, mergers and bankruptcies can all greatly affect company pensioners. During times of an economic slowdown pension plans are most susceptible to becoming underfunded.


Further Reading


The economic function of underfunded pension plans
www.journals.uchicago.edu [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

Pension reform, financial market development, and economic growth: preliminary evidence from ChilePension reform, financial market development, and economic growth: preliminary evidence from Chile
link.springer.com [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

The labor contract and true economic pension liabilitiesThe labor contract and true economic pension liabilities
www.jstor.org [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

The political economy of unfunded public pension liabilitiesThe political economy of unfunded public pension liabilities
link.springer.com [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

The economics of state and local public pensionsThe economics of state and local public pensions
www.nber.org [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

Pension plan funding and corporate debt ratingsPension plan funding and corporate debt ratings
www.jstor.org [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

Corporate financial structure and the funding of private pension plansCorporate financial structure and the funding of private pension plans
www.sciencedirect.com [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …

The effect of financial constraints and political pressure on the management of public pension plansThe effect of financial constraints and political pressure on the management of public pension plans
www.sciencedirect.com [PDF]
… a bond is optimal, it will take the form of an under- funded pension if its … IMPACT OF INFLATION ON THE EFFICIENCY OF UNDERFUNDING The model described above is sufficient … It will be shown that inflation reduces the attractiveness of using underfunded pensions as bonds …


Leave a Reply

Your email address will not be published. Required fields are marked *