Sections

Portuguese equities return 32.5%

Related Categories

PORTUGAL - Portuguese pension funds returned 8.8% in 2006, down from 9.2% in 2005, according to Watson Wyatt.

The annual return was nevertheless the second best this century, boosted by strong domestic equity returns of 32.5% and other eurozone equity returns of 21.6%.

Hugo Rocha at Watson Wyatt in Lisbon told IPE that  "increased merger and acquisition activity surrounding several large companies such as Portugal Telecom and Banco BPI" lay behind much of the good performance of equities. 

Whereas in 2005 bonds helped boost pension fund returns, fixed rate Euro bonds showed only small positive returns in 2006 as they suffered from rising interest rates.
 
According to the latest Watson Wyatt survey the average pension fund allocation in Portugal was as follows: 43.8% bonds, 36% equities (incl. 19.7% Portuguese equities), 12.3% property and 2.7% fund of hedge funds.

Have your say

You must sign in to make a comment

IPE QUEST

Your first step in manager selection...

IPE Quest is a manager search facility that connects institutional investors and asset managers.

  • QN-2466

    Asset class: Multi-asset funds.
    Asset region: Global.
    Size: EUR 30m.
    Closing date: 2018-08-16.

  • QN-2467

    Asset class: Search for a broker (mainly ETFs).
    Asset region: Global.
    Size: 250m.
    Closing date: 2018-08-28.

  • DS-2468

    Closing date: 2018-08-24.

Begin Your Search Here