IDEAS home Printed from
   My bibliography  Save this article

Valuation of Pension obligations in a continuing low interest environment in the Euro-Zone-impact and measures


  • Singer, Klaus

    () (PhD Student, The Bucharest University of Economic Studies)

  • Bußian , Aykut

    () (PhD Student, The Bucharest University of Economic Studies)


Since the global financial crisis interest rates in the Euro-Zone areturning down and areat ahistoric low level companies have to disclose pension obligations in their financial statements. Valuation principles for pension obligations demand under IFRS and German GAAP that the liabilities have tobediscoun­ ted. Melting interest rates result in continuously increasing pension obligations. Thus, KPis and credit rating of companies are impacted. The article describes the impact of decreasing yields on pension obligations under different accounting regulations. First taken measures of the German legislation enforced inJanuary 2016 to reduce the burden of the growing pension obligation by changing the valuation principles are analysed. Tue article also details the impact of a low interest environment on KPis and creditrating.

Suggested Citation

  • Singer, Klaus & Bußian , Aykut, 2016. "Valuation of Pension obligations in a continuing low interest environment in the Euro-Zone-impact and measures," Zeitschrift für interdisziplinäre ökonomische Forschung, Allensbach Hochschule, issue 2, pages 96-102, November.
  • Handle: RePEc:ris:zfioef:0042

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item


    Audit; Accounting; Pension obligations; Key Perfor­mance Indicators; Valuation;

    JEL classification:

    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:zfioef:0042. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jeannette Schröter). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.