Best practices

The objective of new regulations should be limited to creating an environment in which retirement plans thrive and provide more Canadians with valuable retirement benefits. The benefits of group plans include: 1. wholesale investment management fees that provide, on average, 20% more retirement income than the same investment in an individual retirement plan, 2. employer contributions, 3. dollar-cost averaging, and 4. convenient payroll deductions. Keeping this in mind, regulatory proposals should focus on 2 goals: 1. to clarify the role that key stakeholders play in a DC plan, and 2. to set a common standard for all plans, regardless of the provider.