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RETIREMENT PLAN INVESTOR

Use your plan ID (available on your account statement) to determine which employer-sponsored retirement plan website to use:

IF YOUR PLAN ID BEGINS WITH IRK, BRK, 1, 2 OR 754

Visit americanfunds.com/retire

IF YOUR PLAN ID BEGINS WITH 34 OR 135

Visit myretirement.americanfunds.com

Categories
DB and DC: Complements, not substitutes
Chris Anast
Senior Retirement Strategist
Jay Binstock
Multi-Asset Strategist
Naomi Fink
Retirement Economist

 


 

 

As defined contribution plans have slowly gained ground over defined benefit plans, how can the two be used to complement one another? In this series, Capital Group’s team outlines how both plans can be used to hedge their unique risks.

Key takeaways:

  • Defined benefit (DB) plans have slowly given way to defined contribution (DC) plans, although DB still plays a big role in the public sector.

  • DB and DC plans provide distinct opportunities for retirement savings. They may each be used to help insulate against different risks. 

  • Risks involving vesting, fiscal policy and involuntary job separations affect DB and DC participants in different ways.

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Chris Anast is a senior retirement strategist with 23 years of industry experience (as of 12/31/2021). He holds a bachelor's degree in finance from the University of Florida. 

Jay Binstock is a multi-asset strategist with 13 years of industry experience (as-of 12/31/2021). He holds a bachelor’s degree in business administration, finance from the University of Southern California.

Naomi Fink is a retirement economist with 23 years of industry experience (as-of 12/31/2021). She holds a Master’s degree from Barcelona GSE.

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