“Of this amount, more than EUR150 million will be invested in stocks traded on the local capital market, which translates into a 20% increase compared to 2013,” Tintoiu told the Romanian Financial Forum, organized by MEDIAFAX.
At the end of September, some 95% of pension funds’ assets were invested in Romania, according to data presented by Tintoiu.
“Overall, EUR310 million are invested in stocks traded on the Bucharest Stock Exchange. In 2013 alone, private pension funds invested some EUR125 million on the Bucharest bourse, securing 7% of its liquidity,” said Tintoiu, adding that pension funds hold nearly 10% of Romania’s leu-denominated treasuries and 5% of euro-denominated treasuries.
Tintoiu highlighted that private pension funds have a major importance for the country’s real economy, by purchasing bonds and participating in initial public offerings (IPOs).
Pillar II funds registered annual average yields of 11.4% in the last five years. The first contributions to Pillar II were made in May 2008.