Can We Improve the Way People Make Pension Choices?

Are individuals making the "right" investment choices for their retirement years? What do we know from research about choosing good mutual funds? What are the effects of financial literacy on pension choices?

This seminar addressed the challenges and opportunities of the pension systems in Sweden and abroad.

Some of the questions that were discussed:

• What do economic theory and popular personal finance authors have to say about retirement contributions and asset allocation?
• What do we know about how people actually make pension choices?
• How does choice architecture, financial sophistication and inertia interact within the context of retirement savings?
• How can we facilitate investment choices and improve the supply of funds?
• Are there specific policies or initiatives for fostering a more financially secure retirement?

Speakers:

James Choi, Professor of Finance at the Yale School of Management.
Choi’s primary research is in household finance and behavioral finance, and his work on retirement savings behavior and personal finance has led to changes in retirement investment plan design at many U.S. corporations and has influenced pension legislation in the U.S. and abroad.

Anders Anderson,Researcher at Swedish House of Finance and Associate Professor at the Stockholm School of Economics. His research focuses on behavioral and consumer finance. He is currently working on retirement decisions and sustainable investment.

Anna Pettersson Westerberg, Director General at Pensionsmyndigheten. She has extensive experience in economic policy, social insurance and pensions from several positions within Sweden’s Government Offices, authorities and private sector, including the Ministry of Finance, the Ministry of Social Affairs, Swedish Insurance and the Na-tional Audit Office.

The seminar was held in English and moderated by Annika Sundén, former Deputy Director General at Pensionsmyndigheten.