- The global pensions gap is widening and fees and inflation are destroying the value of long-term savings. Therefore, now more than ever, we – pensions savers – are in need of a simple, transparent and cost-effective long-term retirement savings product that would provide a decent return in the current low-interest environment.
Fortunately, the European Commission is working towards a simple, standardised and cost-effective Pan-European Personal Pension (PEPP), which could meaningfully reduce the pensions gap, by providing a good “value for money” option for all European savers and pensioners. The "Default Option" of such a PEPP should benefit from a real “capital protection” that makes sure that, upon retirement, you will at the very least get back the money that you invested in the first place. It is crucial to protect the full savings amount before the deduction of all accumulated fees, charges and expenses, and in real terms, i.e. offsetting the negative impact of inflation over time. THE SCAM -
If the PEPP's definition of capital adopted by the European Parliament and EU Council allows you to recoup only the nominal capital invested net of all accumulated fees and costs without offsetting inflation, it will destroy the purchasing power of your pension savings. Therefore, calling it "capital protection" is seriously misleading.TIME FOR ACTION
- Stand up against this scam, sign the BETTER FINANCE petition and send this video and petition to your MEP.
BETTER FINANCE -
- VIDEO LINK: https://www.youtube.com/watch?v=q-JUucArdcs
- FIND YOUR MEP: http://www.europarl.europa.eu/meps/en/home
The European Federation of Investors and Financial Services Users (“BETTER FINANCE”) represents and defends the interests of individual and small shareholders, fund and retail investors, savers, pension fund participants, life insurance policy holders, borrowers, and other financial services users. We believe that the financial system exists to serve the real economy. For this reason, our mission is focused on restoring confidence in capital markets and financial intermediaries and promoting a sustainable finance for its users. We try to balance the influence of the financial industry in the EU financial policy-making process and make the voice of EU citizens heard.
To achieve this, we:
- successfully engage in EU financial policy advisory groups,
- processes and in campaigns to provide relevant information and better
protection for end-users,
- promote market integrity and transparency for individual investors and non-industry stakeholders and
- establish better governance of financial supervision for all European citizens.
For more information go to: www.betterfinance.eu.
Posted: 7 January 2019 (Updated: 14 February 2019)