Accumulation pension funds at VEB post 7.62% return in 2010
MOSCOW. Feb 14 (Interfax) - The yield on pension accumulation funds invested in the expanded portfolio offered by Vnesheconombank (VEB) was 7.62% in 2010, the head of VEB's trust management department, Alexander Popov, told journalists on Monday.
The yield over the past three years was 5.47%, Popov said.
VEB's conservative portfolio, which was created on November 1, 2009, earned 8.17%.
The expanded portfolio contains 738 billion rubles in pension accumulation funds, up from 480 billion rubles at the beginning of 2010. The volume in the conservative fund was 2.4 billion rubles, up from 764 million rubles.
Commenting on the relatively low yield on the expanded portfolio, Popov noted that the return in the first quarter of 2010 was 13%, due to a favorable revaluation of assets stemming from the low inflation rate and expectations the rate would stay low. However, inflation began rising in the second half of the year, driving up yields on the underlying obligations and eating into returns. Secondly, a large portion of the money was held in a cash reserve, in expectations that companies would issue state-guaranteed bonds totaling 250 billion rubles in 2010. However, only one-fourth that number was actually issued, mainly at the end of the year. VEB would invest the cash in interbank deposits paying 5.5% annually, he said.
Meanwhile, pension accumulations invested with Troika Dialog posted a return of 22.72% in 2010 (and 4.04% over the past three years). VTB Asset Management had a return of 19.69% (9.91%).
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