Mercer CFA Institute Global Pension Index 2021

Global Pension Systems Rankings 2021: results announced

The Mercer CFA Institute Global Pension Index 2021 benchmarks 43 retirement income systems around the world, highlighting strengths and weaknesses. In 2021, new entrant Iceland is named as having the world’s best pension system overall. However, as the world continues to grapple with the economic implications of the pandemic and its ongoing health crisis, the study also reveals factors causing the gender pension gap around the world. It’s critical that policymakers and governments reflect on the strengths and weaknesses of their systems to deliver better long-term outcomes for future retirees.

The special chapter on gender differences in pension outcomes is a strong reminder that unequal pay and lack of job opportunities for women, has ramifications over many years resulting in sub-par pension outcomes; and therefore we need to continuously look to close the gender gap.

Jennifer Henry, CFA, President of CFA Society South Africa

Comprehensive pension systems analysis

The Mercer CFA Institute Global Pension Index uses three sub-indices – adequacy, sustainability and integrity – to measure each retirement income system against more than 50 indicators. The Index is published by Mercer, in collaboration with CFA Institute and the Monash Centre for Financial Studies.

Adequacy

What do you get?

#1 Iceland (82.7)
#2 Netherlands (82.3)
#3 Norway (81.2)

Sustainability

Can it keep delivering?

#1 Iceland (84.6)
#2 Denmark (83.5)
#3 Netherlands (81.6)

Integrity

Can it be trusted?

#1 Finland (93.1)
#2 Norway (90.2)
#3 Netherlands (87.9)

An overview of retirement income systems included in the Global Pension Index 2021

Map of pension systems included in the index

Pension system (and overall index value): Argentina (41.5), Australia (75.0), Austria (53.0), Belgium (64.5), Brazil (54.7), Canada (69.8), Chile (67.0), China (55.1), Colombia (58.4), Denmark (82.0), Finland (73.3), France (60.5), Germany (67.9), Hong Kong SAR (61.8), Iceland (84.2), India (43.3), Indonesia (50.4), Ireland (68.3), Israel (77.1), Italy (53.4), Japan (49.8), Korea (48.3), Malaysia (59.6), Mexico (49.0), Netherlands (83.5), New Zealand (67.4), Norway (75.2), Peru (55.0), Philippines (42.7), Poland (55.2), Saudi Arabia (58.1), Singapore (70.7), South Africa (53.6), Spain (58.6), Sweden (72.9), Switzerland (70.0), Taiwan (51.8), Thailand (40.6), Turkey (45.8), United Arab Emirates (59.6), United Kingdom (71.6), Uruguay (60.7), United States of America (61.4).

Mercer | CFA Institute Global Pension Index 2021