Culminating more than a year of study, the Pension Accounting Working Group recently unveiled a roadmap for broadening understanding of what constitutes a healthy public pension system. How the financial health of a public pension system is measured matters because metrics play an important role in decision making. Three new metrics that can help guide decisions by managers and policy makers are among the options presented in a new report, “Measuring Public Pension Health: New Metrics and New Approaches.”
The research presents several new metrics policymakers can use to assess system health, both in the short term and for long-term sustainability including a cash flow yardstick, a risk metric for asset allocation, and a sustainability metric for a system’s liability.
During this webinar, Tom Sgouros, fellow at The Policy Lab at Brown University, will review the research findings and respond to questions.