Understanding Northern Trust Company Pension Plans and Investment Options

Northern Trust Company offers a range of pension plans designed to help employees plan for retirement.

These plans are often sponsored by employers as a benefit to their employees.

Northern Trust Company's pension plans typically include a defined benefit plan, which provides a guaranteed benefit amount based on salary and years of service.

The company also offers a 401(k) plan, which allows employees to contribute a portion of their salary to a retirement savings account.

Employees can choose from a variety of investment options within the 401(k) plan, including stocks, bonds, and mutual funds.

The investment options are managed by Northern Trust Company's investment team, who aim to maximize returns while minimizing risk.

Northern Trust Company's pension plans are designed to be flexible and adaptable to changing employee needs.

Northern Trust Company pension plans offer a range of options to help you save for retirement.

You can choose from a variety of investment options, including a target date fund that automatically adjusts its asset allocation based on your retirement date.

The company also offers a 401(k) plan, which allows you to contribute pre-tax dollars to your retirement account, and a Roth 401(k) plan, which allows you to contribute after-tax dollars.

By contributing to a Northern Trust Company pension plan, you can potentially reduce your tax liability and increase your retirement savings.

A Defined Benefit (DB) Pension is a type of pension plan that promises a specific benefit amount to employees upon retirement, based on their salary and years of service.

The benefit amount is typically calculated as a percentage of the employee's final salary, multiplied by their years of service. For example, an employee with 20 years of service and a final salary of $80,000 might receive a DB pension benefit of $1,600 per month.

DB pension plans are often sponsored by large employers, such as corporations or government agencies. These plans are typically funded by the employer, who contributes a certain amount to a trust fund each year.

The benefit amount is usually guaranteed by the plan sponsor, which means that employees can rely on receiving a predictable income stream in retirement.

The base pay range for a pension plan professional can vary based on experience and qualifications. A minimum of 3 years of pension actuarial valuation and asset/liability investment experience is typically required.

Actuarial credentials such as FSA/ASA/EA are necessary, with additional certifications like MBA/CFA/CAIA/CIMA being preferred.

To be considered for this role, you'll want to have a strong foundation in actuarial regulations and issues for pension plans.

In terms of specific skills, you'll need to be proficient in technology to coordinate analysis of client's asset and liability reporting.

A strong ability to communicate complex actuarial and investment solutions to various constituents is also essential, as is the ability to display a high level of teamwork towards achieving business unit and team goals.

Some of the key responsibilities of this role include conducting asset/liability studies, making recommendations on liability hedging assets, and preparing regular reports on the pension plan's funded ratio and attribution analysis.

Here's a breakdown of some of the key qualifications: