Private pension funds in Romania, assets up to RON 155.49 billion in September

Business Forum

27 December, 2024 at 7:00 AM

The private pension funds in Romania had total assets of RON 155.49 billion at the end of September 2024, up by 28% compared to the same period of the previous year and by 18% compared to the end of December 2023, according to the Financial Supervisory Authority's "Report on the evolution of the private pension system in the first nine months of 2024".

Thus, at the end of Q3 2024, privately managed pension funds (Pillar II) had accumulated assets amounting to RON 149.95 billion, up 18% compared to December of the previous year. Voluntary pension funds (Pillar III) accumulated assets worth RON 5.54 billion, 17% more than at the end of last year.

The financial instruments in the portfolios of private pension funds traded on financial markets are marked-to-market, regardless of the period of time for which they are intended to be held in the portfolios. In this situation, the evolution of the unit net asset value of private pension funds may include and be influenced by potential episodes of volatility in the short term.

However, the investment horizon of private pension funds is long-term, with funds demonstrating good resilience to past financial market shocks.

As of September 30, 2024, there were 9.03 million participants enrolled in the 17 private pension funds, compared with 8.86 million at the end of the previous year. The number of registered participants in the privately managed pension scheme as of September 30, 2024, was 8.24 million, compared with 8.15 million as of December 2023, and the number of registered participants in the voluntary pension scheme was 793,000, compared with 710,800 as of December 31, 2023.

The investment policy within the asset portfolios of private pension funds continues to be focused on the local financial market, with the share of investments in fixed-income instruments accounting for 72% of the total investment portfolio of private pension funds. At end-September 2024, 24% was invested in equities.

Net assets of investment funds slightly decline to €9.9 billion in April

The net assets of 247 open-ended and closed-ended investment funds in Romania, both local and foreign, saw a slight decrease of 0.9% in April.

Finance

Banca Transilvania announces sustained organic growth in first 9 months of the year

Banca Transilvania recorded positive results in the first nine months of the year, mainly driven by organic growth, customer activity and volume of operations.

Finance

BRD announces a net profit of RON 1.1 billion in first 9 months of 2024

BRD is among the first banks which will roll out in production, RoPay, an instant mobile, proximity and payments service, via QR code, which is simple, secured and free of charge.

Finance

Raiffeisen Group's results shows solid growth across all business segments in first 9 months of 2024

Raiffeisen Bank Romania's assets exceeded RON 74.3 billion in the first 9 months of the year, marking an increase of 10% compared to the same period last year.

Finance

Private Equity investments represent only 0.041% of Romania's GDP

The ratio of Private Equity investment value to Romania's GDP is just 0.041%, ten times lower than the similar ratio at the European level.

Industry

Hidroconstructia creditors approve sale of assets worth €65 million

The assembly of Hidroconstrucția's creditors approved the sale of assets in order to reduce the company's operating costs and allow the repayment of amounts to creditors.