Mandatory private pension funds gain 10% in H1

Mandatory private pension funds (pillar II) in the first half registered an average return of 9.9%, while the return of voluntary pension funds (pillar III) reached 6.6%, according to the Association for Privately Managed Pensions of Romania (APAPR). Calculated for the past 12 months, the return of mandatory funds came to 20.7%, and to 15.4% in the case of voluntary pensions. Mandatory funds have over 5 million contributors, much more than voluntary ones, which include just 200,000 participants. Private pension’s net assets top 3.6bn RON. “The performance private pension funds registered in the first half of this year is the more important as the investment climate was unfavourable. The prolonged global economic recession, concern regarding a possible public debt crisis in European states, Romania’s economic and budgetary problems, these were all risk and uncertainty factors for the overall financial market and for pension funds,” stated Crinu Andănuț, APAPR chairman and general manager of Allianz-Țiriac Pensii Private, the second biggest manager on the market. Funds’ returns were influenced by investments in stock, as capital markets were extremely volatile in the first half.