presentation about pension funds

1. Presentation on
“Pension Funds”
PREPARED BY-
Rian Binte Kamal

2. What is a pension fund?
A pension fund, also known as a superannuation fund in
some countries, is any plan, fund, or scheme which
provides retirement income.
Pension funds typically have large amounts of money to
invest and are the major investors in listed and private
companies.

3. Classifications:
1. Open vs. closed pension funds
2. Public vs. private pension funds
Open pension funds support at least one pension plan
with no restriction on membership while closed pension
funds support only pension plans that are limited to
certain employees.

4. Public vs. private pension funds:
A public pension fund is one that is regulated under public
sector law while a private pension fund is regulated under
private sector law.

5. Types of pension plans:
1. Defined Benefit Plan
2.Defined contribution plan
3.Cash Balance Plan

6. Pension Fund in Bangladesh:
Pension system in Bangladesh is mainly observed in government services.
The pension issues are settled according to the rules of the Public Servants
(Retirement) Act of 1974. Pension takes the form of provision of annuities
for the aged. In the region constituting Bangladesh, pension for older
population was first introduced in 1924, primarily for the government
employees.
Bangladesh government modified the pension rules for the first time in
1972. In 1977, the rules were again modified. Finally,
in 1994, the government simplified the rules and regulations relating to
sanctioning of the pensions of the government officials.

7. Benefits of Pension Funds:
1. Guranteed payment
2. Less employee turnover
3.No investment risk
4. Safer Environment

8. Bangladesh Retired Government Employees Welfare
Association,Dhaka:
.
This Association has been working since 1976. The Association offers medical
services to members and provides welfare services to retired employees and their
families. It provides some financial support (grant) programs such as, medical grant,
education grant and lump grant. This association also provides interest-free loan to
the elderly. 62 district level branches are working as its affiliated bodies

9. 1.In present day, Bangladesh a small proportion of the total population constitutes
the elderly persons. But the absolute number of the older persons is quite significant
and their rate is also alarming .
2. Because of increased life expectancy the elderly people will live for longer years
resulting in increased dependency ratio and declining potential support ratio.
3. Complex rules
Future Challenges

10. Thank You all!