The Dutch pensions industry has concluded that the ongoing debate over the discount rate for liabilities and funding ratios is a “dead end”, according to Gerard Riemen, director at the Dutch Pensions Federation.Speaking with local financial news daily Het Financieele Dagblad (FD), he pointed out that the discount rate was used to calculate, among other things, how much cash a pension fund would need today to pay a pension in 50 years’ time.“There is no objective truth for this, however, as nobody can look into the future,” said Riemen, who recently called on the industry to come up with an alternative to the predominantly defined benefit (DB) system in the Netherlands.At the time, he recommended switching to a collective defined contribution (CDC) system, with individual pensions accrual and as much risk-sharing “as possible”. Contributions should be calibrated to achieve a pension that is 70% of salary, he added.During the FD interview, Riemen highlighted that it was not the recent performance of equity markets that worried the sector but rather the long-term prospect of low interest rates.He said Dutch pension funds had, for all intents and purposes, abandoned their call for a higher discount rate.He argued that last summer’s reduction of the ultimate forward rate – as part of the discount rate – had destabilised the discount rate and hurt coverage ratios.In the opinion of the Pensions Federation, he said, all current pension claims should be converted into CDC arrangements ”as soon as possible”.“If we don’t do this, we will keep having the same problems for decades,” he said.“We don’t want to tell people in their 30s how much exactly their will receive in 40 years’ time because this is totally impossible.”Riemen also took pains to emphasise the urgency for quick decision-making. “If markets remain suppressed this year, and interest rates don’t rise either, we are facing rights cuts for large numbers of participants next year,” he said.“As things stand at the moment, many participants won’t receive any indexation for years, and we risk losing public support for the existing pensions system.”Riemen said he hoped the new government would make a decision on the shape of the new pensions system next year, and fully implement the system no later than 2019.
The problems literally started right after the opening tip with Stephen Curry stealing the ball twice, leading to a pair of easy dunks. Rookie Patrick McCaw, who the Clippers passed on in the second round of this year’s draft, got a steal on the Clippers’ third possession, setting up Kevin Durant for two free throws.Down 6-0 before they even attempted a shot, the Clippers turned the ball over again. Luckily, the ball ended up in JaVale McGee’s hands and he promptly handed it back.Ten of the Clippers’ 15 turnovers happened in the first half. And it wasn’t so much that Draymond Green and Zaza Pachulia were out with injuries; it was that Durant, Klay Thompson and Curry weren’t.The Warriors’ top three offensive players commanded so much of the Clippers’ attention, and rightfully so, the other two players on the court almost didn’t matter. With eyes on the Warriors’ All-Stars, McGee was free for 11 easy points, McCaw stroked in a pair of early 3s and James Michael McAdoo scooped up 10 points and nine rebounds, most of which were uncontested.The Warriors feasted on the Clippers’ wandering focus, scoring 27 points off offensive rebounds, while the much bigger Clippers only had 15 second-chance points.And with the Warriors’ role players established, the stars began to operate with more freedom. Curry, a longtime thorn in the Clippers’ side, launched and drained a high-arcing 3 in front of the Clippers bench, giving them a celebratory shimmy before jogging back down the court.With Green sitting, Griffin went to work, scoring 31 points, including a vintage slam over Kevon Looney.And after being down 21 early in the fourth, Jamal Crawford (21 points) and Austin Rivers (18 points) got the Clippers to within seven. But Durant and Thompson hit back-to-back 3s, icing the Golden State win. LOS ANGELES >> It took all of three possessions for the Warriors to remind everyone who they are and why they keep beating the Clippers.The first three times the Clippers got the ball Thursday, Golden State simply took it; a pretty apt metaphor for what’s happened with these two teams over the past three seasons or so.Even without their starting power forward and their starting center, Golden State took another win from the Clippers, 133-120 at Staples Center.It’s the ninth consecutive time they’ve beaten the Clippers. Newsroom GuidelinesNews TipsContact UsReport an Error