First private pensions deal expected towards yearend

The first acquisition on the private pensions market could occur by the end of the year, according to Mircea Oancea, head of the Private Pensions Supervisory Commission (CSSPP). Private pensions are considered the business of the next few decades, with companies forecast to manage sums worth billions of euros. “We expect to receive a request for a portfolio transfer from one mandatory pensions fund to another by the end of the year, but for the time being, we have had no such requests,” explained Oancea. He did not name a specific fund, but it will most likely be small funds, which will have a hard time surviving on the market due to the very small number of clients. The legislation in force requires that a mandatory pension fund have at least 50,000 participants after three years, otherwise it must exit the market. Presently, the funds that have less than 50,000 participants are KD (7,579 participants), Prima Pensie (17,510), OTP (20,607) and Bancpost (23,637).