The provision funds responsible for the “New Abfertigung” recorded a performance of 4.04 percent.
The eight pension funds and eight severance funds apparently benefited from the price gains on shares in the previous year. Their equity ratio is 40 percent on average. They invest 44 percent in bonds and 8.9 percent in real estate.
It is still too early to say whether there will be pension increases for 2021, said Andreas Zakostelsky, chairman of the association. More details will be known in March, with an average performance of 7.5 percent “we assume that there will be an increase in pensions for the majority of pensions”. Depending on the investment profile, there may be differences in the level of performance within the individual pension funds.
Criticism of the Pekabe
This is where the Protection Association of those entitled to pension funds (Pekabe) starts its criticism. It needs to be explained that the investment income of the pension funds is between five and eleven percent. “Such massive differences in performance have a clear impact on the amount of pension. For many recipients of a pension from a pension fund, this means that they will not receive a pension increase this year – as in many years before,” said Pekabe.
More than one million beneficiaries are entitled to a company pension from Austrian pension funds. Of these, 128,000 people were already retired, and 790 million euros were paid to them.
The average pension fund pension was around 440 euros per month. Assets under management amounted to 27.3 billion euros, which was 6.7 percent more than in the previous year.
Source: Nachrichten
