Pension funds in NPFs increase by 4.6% in 2020
Total holdings in non-governmental pension funds (NPFs) rose to 4.5 trillion rubles in 2020. NPFs’ pension savings were up by 4.2% to 3 trillion rubles, and pension reserves — by 5.6% to 1.5 trillion rubles. This growth was primarily driven by positive returns on investment despite volatility in financial markets at the beginning of the year.
The number of persons insured in NPFs under the mandatory pension insurance system continued to decline, including as a result of a rise in the number of new pensioners (many of them receive a one-time payment and are excluded from the list of the insured). Meanwhile, large funds started to actively attract participants in the voluntary pension system at the end of the year.
More details on pension market trends in 2020 are available in the Review of Key Indicators of Non-governmental Pension Funds.