Fate of pension savings of Russians is revealed

VEB State Corporation, which by default manages the pension savings of those Russians who have not chosen a private management company or a non-state pension fund, revealed the fate of the funds and told about the structure of investments, writing “Izvestia”.

A significant part of the money of future pensioners is invested in corporate bonds: the volume in 2021 exceeded the trillion rubles and reached half of the expanded portfolio. The remaining funds are invested in government bonds and deposits. Most of the investments, 85 percent, goes to the real sector, and about 40 percent – in the transport industry and road construction, approximately 15 percent – in oil and gas and electric power industry. The remaining approximately 15 percent of the funds are invested in the Fieldstector – Paper of Russian Banks and International Financial Organizations.

From the report of the State Corporation, it follows that the yield of an expanded investment portfolio in 2021 amounted to 4.66 percent – with inflation at 8.39 percent. The indicator was minimal since 2014, in the previous three years it averaged 6.73 percent. The low yield in the state corporation explained to the reassessment of bonds. “The main reason is the growth of inflation and, accordingly, the growth of profitability in the market. At the same time, it always leads to a drop in the value of the bonds. From here, our 70 percent of the portfolio, which are subject to daily revaluation, of course, decreased in value. And this decrease has eaten “Part of the coupon income,” explained the head of the Department of Trust Department of VEB Alexander Popov.

WEB manages about 39 million future retirees. The corporation forms two investmentportfel: advanced and investment portfolio of government securities.

/Media reports.