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Hanfa: Net assets of mandatory pension funds increased by 230.6 million euros in May

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The net assets of mandatory pension funds (OMF) at the end of May this year amounted to 21.4 billion euros, which is an increase of 230.6 million euros or 1.1 percent more compared to the previous month, according to the monthly report of the Croatian Financial Services Supervisory Agency (Hanfa) published on Monday.

At the end of May, OMFs had a total of 2,272,137 members, which is 3,869 members or 0.17 percent more compared to April. In May, OMFs recorded 5,919 new members, the vast majority of whom, 97.5 percent, were automatically assigned by Regos (Central Register of Insured Persons).

Due to retirement or death, membership ceased for 2,056 insured persons in May.

In May, total net contributions paid into mandatory pension funds amounted to 127.3 million euros, while total amounts paid out upon the closure of personal accounts from all OMFs were 37 million euros, or 11.9 million euros more compared to the previous month.

According to Hanfa data, the nominal monthly returns of Mirex at the end of May for category A were 1.3 percent, for category B 0.7 percent, and for category C 0.4 percent. Annual returns also had a positive sign in all three categories – in category A, an increase of 13.9 percent was recorded, in category B 10.1 percent, and in category C 3.9 percent. The annualized returns of Mirex since the start of OMF operations are also positive, with Mirex A at 7.4 percent, Mirex B at 5.3 percent, and Mirex C at 3.3 percent, Hanfa reported.

Bonds remained the dominant form of investment in the structure of OMFs at the end of May, with 13.2 billion euros and a share of 61.7 percent, with this share increasing by 0.1 percentage points on a monthly basis.

At the same time, the representation of investments in stocks in the assets of OMFs decreased by 0.1 percentage points, amounting to 4.9 billion euros, or 23.1 percent of OMF assets at the end of May.

Among other forms of investment, investments in investment funds were the most represented, with 2.2 billion euros and a share of 10.2 percent across all mandatory pension funds, according to Hanfa data for the second pillar of pension savings (individual capitalized savings).

Net assets of voluntary pension funds increased by 12 million euros

At the end of May, there were also eight open voluntary pension funds (ODMF) operating in Croatia, which had 404,866 members, and 21 closed voluntary pension funds (ZDMF), with 48,980 members.

Total monthly contributions to voluntary pension funds (DMF) amounted to 9.5 million euros, while total monthly payouts were 4.5 million euros.

Thus, the net assets of DMFs in May amounted to 1.3 billion euros, which is an increase of 12 million euros or 0.9 percent more on a monthly basis.

In DMF investments, the largest part of the portfolio consists of bonds, with a share of 55.4 percent in total net assets, followed by stocks with 25.9 percent and investment funds with 10.1 percent.

Hanfa also reported that the total net assets of 111 UCITS funds (open investment funds with public offerings), which operated in Croatia in May, amounted to 2.7 billion euros at the end of the month, which is an increase of 61.5 million euros or 2.4 percent compared to the previous month.

The net assets of the Fund for Croatian Veterans of the Homeland War and their family members at the end of the fifth month of this year amounted to 168 million euros, with the monthly return of the fund being 2.7 percent.