The 17 already licensed mandatory private pension funds (pillar II) could be the only ones that will operate on the market and their race for the 3 million customers has already started
The mandatory private pension products are all very similar, however, several funds have attempted to differentiate their offers through certain features. For instance, Aripi fund, managed by Generali Pensii, is the only fund with a high-risk profile, while the other funds have medium-risk profiles, according to the classifications drawn up by the Commission for the Supervision of the Private Pension System (CSSPP).
The 16 medium-risk funds generally invest between 65% and 75% of customers' assets in instruments deemed as secure: i.e. government bonds (with a higher weight in Romanian and European Economic Area bonds and lower weight for bonds issued by the US, Canada and Japan), as well as bonds issued by international financial institutions (EBRD, EIB, IMF, World Bank). However, the exception is Aripi fund, which only invests 55% of customers' assets in such instruments.
Medium-risk funds invest between 15% and 25% in listed shares (the riskiest asset in the portfolio), while Generali's fund invests 36% of customers' assets in shares listed on various markets. The exception is AIG fund, which stated from the very start that it would invest a portion of assets (10%) in shares listed on foreign stock markets, as well as 5% on the domestic stock exchange. All the other funds stated they would buy shares listed "in Romania or the European Economic Area". In extreme cases, the weight of investments in instruments deemed secure can reach 90% (85% in the case of Generali fund), while the weight of investments in listed shares can reach 35%.
In terms of fees, there are 4 that influence the value of contributors' personal assets. The first is the initial managemen
