Germany Eyes Overhaul of State Pensions With Swedish-Style Investment Fund

Germany's pension commission proposes raising the retirement age beyond 67 and creating a state-run investment fund modeled on Sweden's system. The fund would invest across stocks, bonds, and other assets, using returns to cover future shortfalls. Chancellor Merz backs the shift away from pure pay-as-you-go financing—a move the largest eurozone economy is making to cushion demographic pressure as its workforce shrinks.