Pension Fund Administrators Research Articles

Firm Attributes and Value of Pension Fund Administrators in Nigeria

Value creation is a key objective of every firm and this is applicable to Pension Fund Administrators (PFAs) who seek to remain competitive and achieve superior corporate performance by taking advantage of certain firm attributes. Studies have shown that value of PFAs can impact the financial health of a significant number of individuals during their retirement years if their Retirement Saving Account (RSA) funds are well managed. This objective is scarcely achieved following the increasing challenge faced by the pension fund industry in the dimensions of dearth of investment, poor investment decision by PFAs, restrictions and investment limits by the regulator and the hunt for yield for its RSA contributors amid an environment of low interest rates. Studies that examined the combined effect of firm attributes of firm age, size, contribution density, number of contributors, board size, board quality and branch network on the value of PFAs are lean. This study investigated the effect of firm attributes on Value of Pension Fund Administrators (net asset value per unit) in Nigeria. The study employed <i>ex-post facto</i> research design. Purposive sampling technique was used to select a sample of fifteen (15) from 22 pension fund administrators which have been in existence for the past ten years (2011-2020). Data for this study were extracted from the published annual reports and accounts of the sampled companies which were validated by certification of external auditors and National Pension Commission (PenCom). Data were analysed using descriptive and inferential (multiple regression) statistics at α = 0.05 level of significance. The study found that firm attributes jointly exerted significant impact on net asset value per unit of pension fund administrators (<i>Adj</i>.R² = 0.9298, F(6, 143) = 254.96, p < 0.05). The study concluded that firm attributes enhanced the value of pension fund administrators in Nigeria. It was recommended that pension fund managers should make stakeholders’ interest (contributors and shareholders) a priority and use the selected firm attributes to their advantage to drive performance and create value.

Unending Reforms of the Nigerian Pensions Act: The Dilemma of the Pensioners

The dearth of satisfactory retirement plans coupled with poor retirees’ well-being led to the introduction of the contributory pension scheme. Pensions administration in Nigeria dates back to the 1950s. However, with effect from June 2004, a new Pension scheme evolved with the enactment of the Pension Reforms Act 2004. The new Act introduced the new pension scheme in Nigeria, a defined contributory scheme, unlike the old scheme which was mostly derived benefits. Although the new scheme was anticipated to be better than the old scheme as it was expected to remedy the lacuna and shortfalls predominant in the old scheme, there were noticeable errors and it subsequently became imperative to enact the Pension Reforms Act 2014 on 1st July 2014, and there are already agitations for a change. Unfortunately, most retirees or would-be-retirees do not understand the procedures or activities of PENCOM, the Pension Fund Administrators, and other relevant participants in the industry. This is made worst by the lack of education in this regard until workers are on their exit year. This research is carried out to assess the glitches occasioned by the different reforms of the Nigerian Pension Act. This paper has examined the preparedness and fears over retirement. It is advocated that the continuous or unending reforms of the Pensions laws in Nigeria, coupled with the fraud exposed by the National Assembly in 2012 with the new Pension Scheme, only adds up to the dilemma of the Pensioners.

Gender-Based Price Discrimination in the Annuity Market: Evidence from Chile

This paper studies gender-based price discrimination in the annuity market. The dataset consists of transaction-level data on the universe of individuals accessing the Chilean annuity market in the 2004-2017 period. It exploits the fact that, in Chile, individuals can access the annuity market through three different channels: an independent financial advisor, a sales agent at a company, or directly at a PFA (Pension Fund Administrator). The analysis shows that sales agents severely distort prices to the detriment of women customers. Women who consult sales agents pay higher transaction prices compared to the other two groups of women, while there is no variation in men’s prices across the three channels for market access. Additional evidence shows that this is not driven by differences in negotiation skills or type of annuity product purchased but rather by differences in initial prices. Firms charge higher initial prices to women who access the market through one of their sales agents. These results are consistent with an explanation that links the lack of competition between firms to discriminatory behaviour against female customers. Gender differences in financial literacy might explain why firms find it profitable to offer higher prices to women.

Monetary Fiscal Contributions to Households and Pension Fund Withdrawals during the COVID-19 Pandemic: An Approximation of Their Impact on Construction Labor Supply in Chile

We show statistical evidence that pension fund withdrawals and the Emergency Family Income (EFI) increased the likelihood that a laid off construction worker would reject a proposal for a formal employment contract. This favors the hypothesis that pension fund withdrawals and government subsidies related to the health crisis have, to some extent, contributed to the shortage of formal labor in the construction sector. Based on estimations of the logit model, we found that rejection probability increased with work experience (approximated by the worker’s age). For example, the probability of not accepting a formal contract for a highly experienced worker, who withdrew funds from their mandatory private Pension Fund Administrator and received the EFI, increased by 28%. The figure is approximately 2.5 times the rejection probability of a worker with the same experience but without having received this additional income.

Potentials of an Islamic pension fund administration scheme in Nigeria

This study explores the potential of an Islamic Pension Fund Administration Scheme in Nigeria by determining public perceptions about the scheme. A qualitative approach was used to carry out the study in the year 2020 using a Questionnaire with-open ended questions for gathering qualitative data through face to face interviews. A sample of thirty responses was used for thematic analysis. Analysis revealed Nigerians had a positive perception and are willing to participate in an Islamic pension scheme when it becomes available. A recommendation for further research was suggested. The study did not focus on Takaful which is an Islamic insurance product that will replace payment of annuities in Islamic pension funds, and the geographic scope was limited to the Federal Capital Territory. Islamic Pension Fund Administration scheme is a product not available in the Nigerian financial system. The conventional Pension Scheme is bedevilled with many problems; all investments carried out by the pension fund administrators are not screened in any way for shariah compliance. This study explores the potentials of solving these issues.

Moderating Role of Perceived Transparency on the Relationship between Service Fairness and Customer Loyalty

The aim of the present study is to probe the possible moderating role of perceived transparency on the relationship between service fairness and customer loyalty. A total of 215 copies of questionnaire were distributed to the customers of pension fund administrators in Kano state. Valid responses were analysed using SPSS version 20 and Smart PLS 3.0 applications. Findings from the study supported the four hypothesized main relationships, while the remaining three moderating relationships were rejected. Specifically, distributive fairness, procedural fairness, interactional fairness and perceived transparency were found to be positively and significantly related to customer loyalty. In other words, they were found to be the predictors of customer loyalty. Interestingly, the moderating role of perceived transparency on the relationship between distributive, procedural and interactional fairness and customer loyalty was not found to be significant. The implications of the finding are discussed and the study recommended that Pension Fund Administrators and the National Pension Commission hire competent staff with exceptional relationship management skills and simply the documentation processes for accessing retirement benefits. It is also recommended that the National Pension Commission increases its surveillance in the entire industry and devise means of measuring customer satisfaction.

Strategic decision-making and corporate performance of pension fund administrators in Nigeria

This study examined the effect of decision making and execution on the operational activities of Pension Fund Administrators in Nigeria. The study employed a survey research design with a population of 10 Pension Fund Administrators in Nigeria. Primary data employed for the study were analysed using the Chi-square analytical technique. The s Research results show that managers take account of organization’s strategic objectives which translate to good performance when making a decision. The study therefore recommends that strategic decisions should be well taken by managers to be able to deliver on the strategic objectives of the organizations they represent. Keywords: Decision-Making, Organizations, Performance, Strategic-Objective, PFAs

PENSION FUND ADMINISTRATORS AND FINANCIAL TRANSPARENCY OF RETIREMENT SAVINGS FUNDS IN NIGERIA

This study examined the ‘‘Pension Fund Administrators and Financial Transparency of Retirement Savings Funds in Nigeria: A Study of Selected Pension Funds Administrators in Anambra State. These objectives guided the study to examine whether the introduction of PFAs has a significant effect on the reduction of corruption in the management of pension funds in Nigeria, to determine the considerable level of financial transparency in the administration of retirement savings funds by Pension Funds Administrators in Nigeria and to examine if the Contributory Pension Scheme enables easy access to Pension Saving Funds to the retirees in Nigeria. The researcher adopted the survey research design. The study used Activity Theory as its theoretical framework. And a questionnaire was structured as the instrument for data collection. The research questions were solved using simple percentages, while Z-tests statistical tool to test the hypotheses. This study significantly revealed a level of financial transparency in the administration of retirement savings funds by pension funds administrators in Nigeria. Contributory Pension Scheme enabled easy access to pension savings funds to retirees in Nigeria. Lastly, the introduction of PFAs has a significant effect on reducing corruption in the management of pension funds in Nigeria. We recommend among other things, on the part of the regulator, there is need to address issues like non-remittances of pension contributions by the corporation, the problems that cause non-payment of pension and gratuities to older citizens should also be solved, the regulator (National Pension Commission) should enforce the relevant sanctions of the Pension Reform Acts on defaulting employers to improve on the existing compliance and finally, the government of Nigeria should punish those who steal pensioner’s funds to serve as a deterrent to others.

Strategic Role of Pension Fund Administrators in Motivating Contributors’ Interests in the Nigerian Pension Scheme

The focus of this research was to determine the strategic role of Pension Fund Administrators (PFAs) in motivating contributors’ interests in the Nigerian pension scheme. Effort was made to ascertain the extent of payment of pension benefits to contributors as and when due and to also ascertain the level of payment of interests and bonuses to the contributors on funds invested as and when due. The study utilized structured questionnaire to obtain data from active Retirement Savings Account (RSA) holders and pensioners based on their perceived interests on pension matters in Nigeria. A total of 168 RSA holders and 149 pensioners were purposively and randomly selected for the study within the South-West region of Nigeria. From the application of the regression technique, the data analysis revealed that prompt payment of pension benefits and contributions by PFAs significantly influence contributors’ motivation in the pension scheme. Also, the result showed that payment of interests and bonuses on pension funds invested has a significant effect on the contributors’ satisfaction with the pension scheme. Therefore, the study recommended that PFAs should devise means to educate the beneficiaries on the modalities for calculating pension allowances so as to improve their customer service initiatives for increased market share, and to regularly update the RSAs of beneficiaries with the interests and other bonuses from pension investments.

Protecting health personnel in the Covid-19 pandemic

The epidemic and pandemic of COVID-19 constitute an unprecedented public health emergency, it arrived in Latin America, first in Brazil, then in Ecuador; The first cases in Peru were registered as of March 6, 2020. The correct response of the Government of Peru decreed a state of national emergency and mandatory social isolation, initially for 14 days, with the aim of reducing the exposure and transmission of the Coronavirus. It assigned economic funds for 3 million poor families in Peru, during social isolation.The repercussions of COVID-19 are huge, at a social, economic, cultural, and educational level, of course, on the country's health system and your staff. Borders, universities, shops, restaurants are closed. The Pension Fund Administrators (AFP for its acronym in Spanish) announced to be affected quickly, generating significant losses to users. All of this is unpredictable and, just the tip of the iceberg.

Using anti-money laundering measures to curb pension fraud in Nigeria

PurposeThe purpose of this paper is to propose a new approach to curbing pension fraud in Nigeria. The approach involves the use of anti-money laundering tools, procedures and expertise to advance the fight against pension fraud in Nigeria. The guidance is non-binding and does not override the purview of the National Pension Commission. The intention is to build on the revised procedures on the processing of death benefits and to complement existing circulars and guidelines issued by the National Pension Commission, including in particular the guidelines for compliance officers.Design/methodology/approachThe analysis took the form of a desk study, which analyzed various documents and reports, such as the Financial Action Task Force (2012-2018), International Standards on Combating Money Laundering and the Financing of Terrorism and Proliferation (the FATF Recommendations); the Financial Action Task Force Guidance on the Risk-Based Approach to Combating Money Laundering and Terrorist Financing: High Level Principles and Procedures; National Pension Commission Regulations for Compliance Officers; the Joint Money Laundering Steering Group Guidance for the United Kingdom Financial Sector Part I, June 2017 [Amended December 2017] and the Federal Financial Institutions Examination Council (FFIEC) Bank Secrecy Act/Anti-Money Laundering Examination Manual 2014.FindingsThis paper determined that a strong due diligence process where the owner of the pension account and the next-of-kin/legal beneficiary are duly identified before the establishment of a business relationship is capable of reducing the risks associated with pension fraud to the barest minimum. This paper also determined that anti-money laundering measures, such as record keeping, suspicious transactions reporting, training for anti-fraud/money laundering compliance and an independent audit of systems and controls can help curb pension fraud.Research limitations/implicationsPension fraud involves the use of deceit or misrepresentation in connection with a pension claim. There are many different kinds of pension fraud, but the type where the fraud is aimed at stealing a person’s pension funds is what this paper is concerned with.Originality/valueAlthough most publications on pension fraud are focused on anti-fraud measures, this paper focuses on the anti-money laundering measures which can be used by Pension Fund Administrators to curb pension fraud.

Using Anti-Money Laundering Measures to Curb Pension Fraud in Nigeria

PURPOSE – This paper proposes a new approach to curbing pension fraud in Nigeria. The approach involves the use of anti-money laundering tools, procedures and expertise to advance the fight against pension fraud in Nigeria. The guidance is non-binding and does not override the purview of the National Pension Commission. The intention is to build on the revised procedures on the processing of Death Benefits and to complement existing circulars and guidelines issued by the National Pension Commission, including in particular the guidelines for Compliance Officers. DESIGN/METHODOLOGY/APPROACH – The analysis took the form of a desk study, which analyzed various documents and reports such as the Financial Action Task Force (2012-2018), International Standards on Combating Money Laundering and the Financing of Terrorism & Proliferation (the FATF Recommendations); the Financial Action Task Force Guidance on the Risk-Based Approach to Combating Money Laundering and Terrorist Financing: High Level Principles and Procedures; National Pension Commission Regulations for Compliance Officers; the Joint Money Laundering Steering Group Guidance for the United Kingdom Financial Sector Part I, June 2017 [Amended December 2017] and the Federal Financial Institutions Examination Council (FFIEC) Bank Secrecy Act/Anti-Money Laundering Examination Manual 2014. FINDINGS – This paper determined that a strong due diligence process where the owner of the pension account and the Next-of-Kin/legal beneficiary are duly identified before the establishment of a business relationship is capable of reducing the risks associated with pension fraud to the barest minimum. This paper also determined that anti-money laundering measures like record keeping, suspicious transactions reporting, training for anti-fraud/money laundering compliance and an independent audit of systems and controls can help curb pension fraud. RESEARCH LIMITATIONS – Pension fraud involves the use of deceit or misrepresentation in connection with a pension claim. There are many different kinds of pension fraud, but the type where the Fraud is aimed at stealing a person’s pension funds is what this paper is concerned with. ORIGINALITY/VALUE – While most publications on pension fraud are focused on anti-fraud measures, this paper focuses on the anti-money laundering measures which can be used by Pension Fund Administrators to curb pension fraud.

Carlos Zuleta and Lean

This case tells the story of Carlos Zuleta's philosophies toward Lean transformations in the country of Colombia. First, he describes the transformation at Porvenir, a Colombian private pension fund administrator that applied Lean to reduce the lead time from when a customer became eligible for pension payments to the moment they received their first payment. Then he describes his transition to his own boutique consulting firm, Rewire Colombia, focusing on operational excellence based on Lean principles and tools. A number of Lean success stories and Lean methodologies are described. People development is described in particular detail. The case can be used as an example of applying Lean in service settings in a non-US location. Excerpt UVA-OM-1690 Rev. Feb. 11, 2021 Carlos Zuleta and Lean Carlos Zuleta, a Colombian native, earned his undergraduate degree in business administration from the Universidad de los Andes in 1995. In 2000, he earned an MBA from the Darden School of Business at the University of Virginia. After two years in banking and another two in management consulting at top-tier US firms, Zuleta transitioned to working for a Colombian private pension fund administrator, Porvenirone of the largest companies in the countryfirst as a corporate strategic planner and later as chief operating officer. In September 2018, he left to form Rewire, his own Lean-transformation-focused consulting firm. What follows is Zuleta's story in his own words. Origins . . .

Inflation Risk Factors and Contributory Pension Wealth: Reflections on Nigeria’s Old-age Poverty

Purpose of the article: Nigeria’s shift to the Defined Contributory Scheme (DCS) is more or less questionable in terms of providing economic security for the senior citizens and preventing old age poverty. The 2004 and 2014 pension reforms sought to conform to pension theory; yet, there could be greater critical risks such as inflation risk factors. This study therefore examined how inflation risk factors impact pension wealth in Nigeria. Methods: The Structured Autoregressive Distribution Lag (ARDL) to the co-integration approach is employed to determine the relationships between inflation risk factors and investment returns of selected Nigerian pension fund administrators for the period 2009–2014. Scientific aim: This study sought the evidence to support the impact of inflation risk factors on pension wealth in Nigeria following the switch to the DCS based on the theoretical link between the investment returns and inflation rate. Findings: Inflation and world oil prices adversely affected the asset returns of pension funds management bourgeoning vulnerabilities to old age poverty. Conclusions: Pension wealth of Nigerians at the cumulating phase is at high risk to inflation risk factors, and is reasonably justified with the negative relationship with the exchange rate factors and world oil prices. The study suggests that inflation, exchange rate risk, and world oil price risk must be strategically tackled with farsighted multi-faceted fiscal and monetary measures to reduce social insecurity and vulnerability to old age poverty. The government should consider promoting the flotation of inflation-indexed bonds and urgently consider imposing a guaranteed returned pension plan (GRPP) to reduce the inflation risk in the accumulating phase of the DCS, while workers should consider increasing their contributions to mitigate inflation risk factors. Insurance life annuities can also provide inflation insurance linked to inflation-indexed bonds.

Pricing schemes and market efficiency in private retirement systems

AbstractWe study the effects of different pricing schemes on the overall surplus in a privately managed retirement system with multiple service providers and switching costs. We develop a theoretical model based on the Chilean retirement system and consider a repeated auction for monopoly rights over new enrollees. We consider a dynamic model solved by pension fund administrators and by consumers. We compare three different pricing schemes: (a) fees on contributions, (b) fees on returns, and (c) a two‐part tariff including an auction over a guaranteed rate of return and allowing the firm to keep a portion of returns generated above this guaranteed rate. We also consider heterogeneity across individuals where agents earn high or low wages and high‐wage customers have proportionally lower switching costs due to more cost‐effective access to financial planning services. We find that auction participants subsidize consumers. We also treat savings as a durable good. In this case, pricing over returns worsens the switching related inefficiencies just described relative to pricing over contributions, despite the better incentives it provides. These inefficiencies can be resolved by allowing firms to price discriminate.

PENSION INVESTMENT FUNDS ANALYSIS: A VARIANCE-COMPARISON TESTS OF NON-CONTRIBUTORY (PRE) AND CONTRIBUTORY (POST) SCHEMES IN NIGERIA

In Nigeria, pension was established in 2004 through the Pension Reform Act, 2004 and since then, pension schemes have manifested in twofold: ‘old’ and ‘new’. The Pension Act No. 102 of 1979 is the “old pension” (non-contributory) and Pension Reform Act of 2004 (including the restructured/modified Pension Act, 2014) is the “new pension” (contributory) scheme. In this paper, we comparatively evaluated both the non-contributory (pre) and contributory (post) pension schemes in Nigeria. In order to do this, secondary data of pension investment funds was obtained during the period 1994-2014. Based on the analysis of data, we found that the contributory (post) scheme is healthy, reliable and poised towards helping retirees survive as soon as they retire from service. Thus, the contributory (post) scheme significantly improved as a result of the reform in Nigeria, especially in the area of pension investment funds. On the basis of the findings, it was recommended among others that there should be an unrestricted retirement savings scheme and non-remittance of pension contributions by employers to PENCOM. Also, a better return on investment and service delivery from pension fund administrators should be enhanced so as to enhance pension investments and voluntary contributions. Besides this, the internal procedures should be improved upon so that contributions and returns on pension investments due to retirees can be efficiently and swiftly made from pension fund administrators to pensioners on retirement.

N ULLITY OF TRANSFER FROM RPM TO RAIS - HOW THE JUDICIAL CONGES - TION AFFECTS , THE EFFECTIVE ACCESS TO JUSTICE , OF USERS WHO HAVE BEEN DECEIVED BY THE PRIVATE PENSION FUNDS

ince the entry into force of Law 100 of 1993, Law that brought about the privatization of health and the administration of pensions on behalf of private entities, entities and / or societies that belong to an economically privileged sector, they began a task and / or excessive competition, without adequate rules of the game, in terms of attracting its users. Over the years, connoisseurs of the subject have identified considerable shortcomings, regarding the lack of clarity in the administration of the resources of the affiliates, the absence of adequate information, lack of report of returns, among others, by of these entities. The protection and defense of the rights to protection and social security, to the vital minimum, to information, to dignity and to work, through labor jurisdiction, were sought to ensure that these bad practices carried out y the Private Funds were condemned. they administer the resources destined to the pension of Colombians, through the demands of nullity and / or ineffectiveness of transfer to deprecate that justice is given by the judicial courts and the AFPs are condemned, to carry out the transfer of all contributions, capital, pension bonus, income and interest, to the State Pension Fund administrator “Colpensiones”.

Contributory Pension Fund Administrations in Nigeria: Stochastic Frontier Analysis of Its Efficiency and Implications for Policy Designs

The study assessed the technical efficiency of pension fund administrators in Nigeria using Stochastic Cost Frontier Model to generate efficiency scores for each of the eleven (11) selected pension fund administrators from a population of twenty-one (21). Panel data gathered from the annual reports of the selected pension fund administrators and the National Pension Commission were analysed using the maximum likelihood technique. The result showed that inefficiency, in varying degrees, existed in the selected fund administrators due to input costs on labour, equipment and premises and the mean and median efficiency scores were about 75% and 72% respectively. While the most efficient pension fund administrator recorded inefficiency score of 0.077, the least efficient pension fund administrator had inefficiency score of 0.388. The study concluded that increase in profitability, number of contributors, engaging in open fund investment activities and merger and acquisition reduce operating cost. It was therefore recommended that there should be a regulator-initiated merger and acquisition in the industry to eliminate waste, with positive impact on investment income. Besides, the regulatory agency should ease and expand transfer windows for existing contributors to transfer their pension contributions from an inefficient pension manager to efficient one to engender competition in the pension industry.

The Contributory Pension Scheme and the Fate of Retired and Retiring Nigerian Workers

This paper examines how the Nigerian workers have fared with the new contributory pension scheme. More than thirteen years after the contributory pension scheme came into being through pension reform act of 2004, the scheme is still enjoying low penetration as many public and private organizations are yet to key into it. There is also the pension reform act of 2014 signed into law by former president Dr Goodluck Jonathan to further strengthen pension administration in Nigeria. Laudable as the new contributory pension scheme is only the Federal Government and its agencies have fully keyed into it. There are also a few states such as Lagos, Anambra, Delta, Osun, Niger, Ogun, and Zamfara which have braced the odd to migrate workers into the new scheme from the old one that was full of encumbrances and government interference. While the Federal Government and some states are remitting their counterpart funding to add to that of workers regularly to the pension administrators, not many employers in the private sector can be said to be doing the same. During the first quarter of 2016, many states were yet to embrace the new pension scheme, while only a few private organizations keyed into the scheme. There is no doubt that a very uncertain future awaits many Nigerian workers at retirement as a result of non-compliance of some states and private organizations which are not likely to key into the scheme any time soon owing to the economic recession and revenue crisis in the country. Some retired workers have complained that up to the time they left their employment they never knew their contributions were not remitted to their Pension Fund Administrator (PFA). This paper therefore contends that the regulatory agency, the National Pension Commission has a lot to do in ensuring that employers do not continue to shortchange their workers. Genuine efforts need to be made in this direction so as to restore the confidence of workers that the new scheme is a lot better than what was in place previously.

The Post Retirement Adjustment Challenges Confronting Local Government Employees in Ethiope East Local Government Area of Delta State

The study examined the post retirement adjustment challenges confronting local government retirees in Ethiope East Local government area of Delta State. The study adopted survey in the form of a descriptive study in which data will be collected once across a population through sampling. The research design of this study is a survey based on a structured questionnaire. The study revealed among other things that delay in the payment of retirement benefits represent the highest percentage of post-retirement challenges often faced by local government retirees in Ethiope West local government area of Delta State. Another major post retirement challenges were the absence of a social policies for retirees. It was further discovered that aging/stereotype feeling of neglect, Physical trauma and anxiety arising from absence of income generating activities is a major challenge confronting retirees in Ethiope West local government area of Delta State. Based on the findings of the study, the following recommendations are hereby outline: The Local government Service Commission should establish a mechanism that would be in cooperate with pre-retirement counseling services as well as general retirement issues to equip its employees with the basic knowledge when concerning retirement. Second, retirement planning should begin early in the employees life so that they could save enough before retirement. In this regards, employees should open retirement savings accounts for pension fund administrators of their choice to enable them to save towards their retirement. Third, government should also initiate a social policy for the aged in the society to help cushion the inadequacies often suffered by retirees in the retirement benefit management in Nigeria. More so, the new pension system should also ensure transparent and efficient management of pension funds. Furthermore, employees should be encouraged to develop a savings culture. Above all, government should strengthen the regulatory and supervisory framework and empower it to successfully and effectively check earring pension fund administrators in the country. Finally, employees and retirees should be encouraged to invest in assets and financial instruments so that at retirement they can earn additional income from these assets and financial instruments to supplement their pension income at retirement.