DC schemes underperforming cash

The consultant says, with equity prices tumbling, some DC investments had declined in value to the extent they were worth less than the cash contributions paid into the fund - forcing some employers to critically reassess their pension provision. PricewaterhouseCoopers partner and chief actuary, Raj Mody, says: "With market conditions beyond employers' control undermining defined contribution schemes, it must seem that there is no escape from pension pressures. "Employers are left between a rock and a hard place. It is no surprise most companies now offer defined contribution schemes, g...