Slovak funds see turnaround in Q3
SLOVAKIA - Slovak funds have further strengthened their positive return base for 2009 thanks to a 0.6% investment return in the third quarter, according to data published by ADSS, the pension fund organisation.
Funds were left with negative returns for the second quarter as regulatory requirements, including lower fees and a new benchmark, had to be fulfilled by July and dragged potential returns downwards. (See earlier IPE story: Slovak funds down amid 'dramatic changes')
Since July, Slovak pension funds - similar to their Czech counterparts - have had to guarantee a positive return over a six-month period on all portfolios.
Should the return be negative, the balance has to be made up from a buffer fund or from the company's assets.
Managed assets in the mandatory system grew from €2.23 at the end of 2008 to €2.7bn by the end of September 2009.
If you have any comments you would like to add to this or any other story, contact Julie Henderson on + 44 (0)20 7261 4602 or email email@example.com