New model hopes to split pension risk

ADB plan has risk of DC for employers, promise of DB for workers
By Melissa Hamelin
||Last Updated: 11/14/2008

It sounds too good to be true: A plan that delivers retirees a predictable, defined-benefit- (DB) style pension while giving employers the financial risk control of a defined contribution (DC) plan.

But that’s the concept a white paper released in Vancouver last month by Aon Consulting,

Restoring Retirement Security: Recommendations for Updating Canada’s Pension System