The Honourable Ted Menzies, Minister of State (Finance), today spoke at the Investment Funds Institute of Canada’s Annual Industry Conference about how the introduction of Pooled Registered Pension Plans (PRPPs) will leverage Canada’s financial sector advantage to build a stronger retirement income system.
“Our government is committed to fostering an even stronger, more innovative and more competitive Canadian financial sector than ever before,” said Minister Menzies. “Once implemented, PRPPs will provide Canadians with an innovative new, privately administered, low-cost and accessible pension vehicle to help meet their retirement objectives.”
PRPPs will differ from existing Registered Pension Plans in that they will allow individuals who currently may not participate in a pension plan, such as the self-employed and employees of companies that do not offer a pension plan, to benefit from a large-scale, low-cost pension plan.
“This development is especially important for millions of small business owners and their employees, who will now have access to a private pension plan for the very first time,” said Minister Menzies. “Since these plans will involve large pooled funds, plan members will also benefit from the lower investment management costs. In effect, they will be buying bulk.”
Minister Menzies invited interested Canadians to submit their views on this framework to him by email (prpp-consultations-rpac@fin.gc.ca). More details on PRPPs are available on the Finance Canada website.
For further information, media may contact:
Bram Sepers
Communications Office of the Minister of State (Finance)
613-996-7861
Jack Aubry
Media Relations
Department of Finance
613-996-8080
To receive e-mail notification of all news releases, please register.
