New savings vehicle will help millions of Canadians without a workplace retirement plan
TORONTO, Oct. 7, 2014 /CNW/ - Sun Life Assurance Company of Canada has received approval to offer Pooled Registered Pension Plans (PRPPs) to federally-regulated employers and their employees who currently do not have a workplace pension plan. The approval announced today, is a positive step towards providing working Canadians a way to meet their retirement saving objectives. PRPPs will allow small and medium-size employers to provide a low-cost pension plan to their employees, administered by a well-regulated provider.
"We are excited to be a part of this important milestone in Canadian pension history," says Tom Reid, Senior Vice-President, Group Retirement Services, Sun Life Financial Canada. "We are committed to providing Canadians with lifetime financial security and this legislation is pivotal in providing access to a low-cost pension for the three to five million Canadians who do not currently have a workplace retirement savings plan."
PRPPs are the most significant piece of pension legislation in more than a decade. This achievement provides working Canadians with an innovative, privately administered, easy and accessible pension vehicle to help meet their retirement saving objectives.
"Our Government believes Canadians deserve to live a secure and dignified retirement," says the Honourable Kevin Sorenson, Minister of State (Finance). "This is a major milestone in providing an attractive new retirement savings option for Canadians who do not have access to a workplace pension plan."
Minister Sorenson continued, "It is also a significant achievement in the Government's ongoing efforts to strengthen Canada's retirement income system, with input from the public as well as industry stakeholders like Sun Life. I would like to extend my sincerest thanks to all approved plan administrators for making federal PRPPs a reality. We encourage those provinces that haven't yet already implemented their respective PRPP frameworks to do so for the benefit of all Canadians."
About Sun Life Financial
Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth products and services to individuals and corporate customers. Sun Life Financial and its partners have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of June 30, 2014 the Sun Life Financial group of companies had total assets under management of $684 billion. For more information please visit www.sunlife.com.
Sun Life Assurance Company of Canada is a subsidiary of Sun Life Financial Inc. and a member of the Sun Life Financial group of companies.
Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.
Note to Editors: All figures in Canadian dollars.
SOURCE: Sun Life Financial Canada
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