Latest news and analysis of pensions, asset management, regulation and trends in Germany from our award-winning journalists.
Spezialfonds recorded an outlfow worth €1.9bn from pension institutions in the first half of the year, an historic first
German fund industry association distances itself from EFAMA’s position
Bank für Kirche und Caritas, Shareholders for Change and Union Investment ‘see need to work towards common industry standard’
Angela Merkel’s governments largely dodged the political hot potato of first-pillar pension reform, which means the current overhaul to the state system is overdue. But it barely gets to grips with the issues. For one, it does not deal with entitlements or increase the retirement age; second it introduces a funded component that will probably only take effect in the 2030s, when the post-war demographic peak is passing.
Versorgungswerke aim for an alternative investment quota of over 50%
IDW proposes fixed discount rate reflecting a long-term average market interest rate
Reducing risks relating to pension promises continues to represent a “key trend” for German employers, according to the Aon’s Market Report 2023.
BVV bundles its services in one unit
The three-party coalition faces important decisions in coming months to reconcile differences over its planned reforms to all three pillars of the pension system
Last year, the manager of Germany’s pay-as-you-go first-pillar scheme, Deutsche Rentenversicherung, recorded income of €363bn, the largest share coming from contributions (€275.6bn), and €87.4bn in public subsidies.
The state’s expenses will increase from €8.4bn in 2020 to €12.5bn in 2040
The asset manager will focus on asset classes including private equity, infrastructure equity, private debt
Plus: Swiss scheme to increase bond investments; BaFin strips asset management licence fom Adrealis; German pension dashboard adds three providers
Net inflows into real estate almost halved
The pension fund has increased allocations in private equity, private debt and infrastructure
Experts consider efforts to expand company pensions in small and medium-sized firms a better strategy than setting up a public fund in the third pillar
KENFO’s managers will invest the assets of the generational capital
Plus: Universal Investment starts US equity fund with Montrusco Bolton; Ecclesia buys Pension Solution Group
The plan is to turn the purely pay-as-you system into a partially capital-funded system
Yellowfin invests capital with an active approach, looking at trends on the capital markets
Fokusgruppe Altersvorsorge recommendations have not given ‘a clear perspective’ on the future role of capital-funded pensions, says Council of Economic Experts
The scheme made new investments in its three bond funds totalling €438m
Plus: BaFin lays out classification method for pension funds’ assets according to SFDR
Plus: Pension schemes’ funding ratios of DAX, MDAX companies continues to rise; BaFin shows shortcomings on risk reporting; Swiss fund market’s volume shoots up