scholarly journals ANALYSIS AND PROSPECTS OF PRIVATE PENSION FUNDS IN RUSSIA

2014 ◽  
pp. 82-87
Author(s):  
A. Pudovkin
Keyword(s):  
Growth Factors ◽  
Pension System ◽  
Pension Reform ◽  
Pension Funds ◽  
Private Pension ◽  
Pension Insurance ◽  
Pension Schemes ◽  
The Russian Federation ◽  
Key Drivers ◽  
Near Future

The article under the title "Analysis and prospects of private pension funds in Russia" deals with the pension system of the Russian Federation and the problems that the private pension funds will be facing with the introduction of the new pension reform. In addition, the article also deeply studies the private pension funds market in Russia. The study presented in the article also aims to thoroughly analyze the key drivers of the recent boom of the private pension funds sector. In addition, the study also reflects on the prospects of development of private pension funds and the major growth factors for the future taking into considerations the latest pension reform. It is exactly the pension capital that constitutes the major role to the growth of the the private pension funds market. In addition, taking into account the latest developments in the pension legislature, which imply no pension capital available to the private pension funds for the period 2014-2015 years, it is easy to foresee that the only growth factor left is pension reserves. Overall it obviously means that private pension funds should develop private pension schemes. Moreover, private pension insurance may become the major driver of the whole pension industry in the near future.

scholarly journals REFORMING THE PENSION SYSTEM OF UKRAINE TAKING INTO ACCOUNT THE EXPERIENCE OF POLAND

2021 ◽  
pp. 128-141
Author(s):  
T. Kravchenko ◽  
◽  
O. Moroz ◽  
Keyword(s):  
Banking Sector ◽  
Pension System ◽  
Pension Reform ◽  
Private Insurance ◽  
Private Pension ◽  
Insurance Companies ◽  
Pension Insurance ◽  
Financial Condition ◽  
Development Scenarios ◽  
Investment Returns

The state, stages of formation and problems of the pension system of Ukraine are considered. The main directions of pension reform are identified, taking into account the experience of Poland. The attitude of citizens to the current state and readiness for changes in the pension system of Ukraine is analyzed. The survey showed that the respondents are ready and support the reform of the Ukrainian pension system and the introduction of the accumulative component, but there is a big problem in the form of distrust of private pension funds and private insurance companies. It is determined that the pension system is no longer able to withstand the load and requires changes in the near future. Analysis of the pension system has shown that it has always been formed taking into account only short-term objectives, which makes it ineffective in strategic terms. It is substantiated that without the growth of the welfare of the population, the de-shadowing of the labor market and the introduction of accumulative pension insurance, the financial condition of the Ukrainian solidarity pension system will deteriorate every year. However, along with the expected positive effect of the introduction of the accumulative component in Ukraine, there are also risks, as fluctuations and instability of the domestic economy may lead to deterioration of the banking sector and insurance companies, which will reduce investment returns in the system or even partial loss of pension savings. Two development scenarios (pessimistic and optimistic) for the pension system of Poland and Ukraine are analyzed. It is determined that for the successful reform of the old solidarity system of Ukraine into a cumulative one it is necessary to: ensure sustainable GDP growth; create a centralized information system for collecting contributions; to personify and register all insured persons in the Pension Fund; identify the needs for qualified personnel, equipment and funds needed to meet the requirements of the new system; provide absolutely all conditions for the effective implementation of the private pension system.

Private Pension Funds in Hungary

2005 ◽  
Vol 55 (3) ◽  
pp. 287-315 ◽  
Author(s):  
Ichiro Iwasaki ◽  
Kazuko Sato
Keyword(s):  
Trade Unions ◽  
Pension System ◽  
Pension Reform ◽  
Legal Framework ◽  
Pension Funds ◽  
Negative Influence ◽  
Private Pension ◽  
Pension Scheme ◽  
Special Interest Groups ◽  
Governance Reform

The new pension system launched in Hungary in 1998 is epoch-making for having introduced a mandatory private pension scheme (MPPS). However, the political decision-making on pension reform and the scheme operations have been greatly influenced by conflicts of interests among ministries, political conflicts between parties, and the presence of special interest groups, including trade unions and financial institutions. This situation may have had a certain negative influence on the legal framework of the MPPS and on the management performance of private pension funds. In order for the MPPS to be sustainable in the future and to make insurance beneficiary profits a top priority, the corporate governance reform of pension funds and reinforcement of the monitoring system over them, and political neutralisation of the public pension system are necessary.

scholarly journals Pension insurance in Russia and in the modern world: trends and prospects.

2018 ◽  
pp. 155-165
Author(s):  
Aleksandr Aleksandrovich Razumov ◽  
Dmitrij Nikolaevich Ermakov ◽  
Galina Vladimirovna Surkova
Keyword(s):  
Pension System ◽  
Pension Reform ◽  
Modern World ◽  
Pension Insurance ◽  
The West ◽  
The Russian Federation ◽  
The Difference ◽  
The Interest Rate ◽  
Western Experience ◽  
Pension Payments

The article analyzes the main aspects of economic efficiency of annuity assurance policy in Russia. The general trends in the development of pension systems in the countries of the West, the difference between Russia and the West in this aspect are revealed. The author offers to make the pension system of Russia more socially just and close to the ideas of the Constitution of the Russian Federation. The linkage of pension payments to the interest rate is seen as an ineffective and dangerous approach in modern Russian conditions to the organization of pension provision for the population, for which there is a negative Western experience. The purpose of this article is to designate the most suitable way for Russia to develop the pension reform within the framework of the review of the study of problems of increasing the efficiency of the pension system in Russia.

scholarly journals Structural-Functional Analysis of a Pension as an Object of Pension Legal Relations

2021 ◽  
Vol 18 (2) ◽  
pp. 138-150
Author(s):  
I. R. Mamatkazin
Keyword(s):  
Russian Federation ◽  
Pension System ◽  
Pension Reform ◽  
Complex Structure ◽  
Complex Function ◽  
Structural Elements ◽  
Pension Insurance ◽  
The Russian Federation ◽  
Pension Coverage ◽  
State Pension

The pension system of the Russian Federation has undergone three fundamental reforms. In 1992, the first law on pensions began to operate in Russia, which significantly differed from the Union legislation. In 2002, insurance principles were introduced into the pension system, which led to a change in the entire system of pension coverage for persons working under an employment contract, including new types of pension coverage. In 2015, there was a significant reform of the existing insurance pension system, which in its significance is no less significant than all the previous changes in the pension legislation. Each pension reform changed the procedure for calculating pensions, legislatively establishing a new pension formula for determining the amount of a pension. Along with this, the structural elements of pensions also changed. At the same time, it is possible to identify similar features in the structural elements of pensions assigned in different periods, but at the functional level. The totality of similar functions of pension elements allows us to talk about certain patterns in the development of the pension provision of the Russian Federation. So, despite the change in the nature of pensions from state to insurance, the essence of pensions, in general, remained the same. Moreover, the essence and functions of the elements of state and insurance pensions are largely the same. The pension is a social security payment with a complex structure. The presence of a structure, the presence of elements and connections between them, indicates a complex function performed by a pension. This function cannot be reduced to a compensatory function, a function of assistance or a function of substitution of earnings. There is an element in the pension structure that reflects past employment. In pensions of different nature, this happens in different ways: wages are taken into account (in state pensions) or insurance contributions (in compulsory pension insurance pensions). In addition, the pension should include an element that increases the amount of the pension in the presence of special circumstances of a subjective nature: disabled dependents, the need for constant outside care. In pensions for state pension provision, such an element is supplements to pensions; in compulsory pension insurance, this function is performed by a fixed payment. Social pensions and funded pension are one-component payments, which raises questions not only about the nature of these pensions, but also about their essence.

scholarly journals The impact of globalization challenges on pension provision development

2017 ◽  
Vol 1 (2) ◽  
pp. 34-44
Author(s):  
Liliya Barannyk
Keyword(s):  
Pension System ◽  
Pension Reform ◽  
Negative Impact ◽  
Developed Countries ◽  
Pension Funds ◽  
Social Consequences ◽  
Pension Insurance ◽  
Global Challenges ◽  
State Pension ◽  
The Impact

The article analyzes pension provision development in the world and the problems of its implementation under the globalization challenges. The main reasons for considering pension provision as a global problem are specified. It is noted that the negative manifestations of globalization are inherent in the Ukrainian practice of pension provision. The purpose of the paper is to study the world’s experience in reforming national pension systems under increasing global negative trends. The research was conducted using the methods of scientific knowledge: comparison and generalization – to establish the essential differences in approaches to the globalization processes studying; analysis and synthesis – to identify regularities in economic development and their determination of social consequences; historical and logical, as well as statistical methods. The article considers some countries’ experience in improving the practice of pension provision. It was established that pension reform was aimed at making the pension age most upon the individual achievements of an employee (pension insurance record, salary, deductions, other personal preferences). In most developed countries, pension funds are provided from three sources: state pension funds, corporate sector pensions and individual pensions received under a contract of personal voluntary pension accumulative insurance. Further development of the pension system in Ukraine should be provided due to the introduction of its second level. As a result of the study, it was found out that global challenges are problems that hinder the normal course of human development. They make a particular negative impact on pension provision. The search for methods to neutralize or mitigate the effects of global challenges has led many countries to introduce a three-tier pension system that involves funding from various sources.

scholarly journals ANALYSIS OF ECONOMIC-FINANCIAL EXPERIENCE OF THE WORLD COUNTRIES IN THE SYSTEM OF PENSION INSURANCE

2020 ◽  
Vol 6 (1) ◽  
pp. 1
Author(s):  
Natalia Koval ◽  
Natalia Priamuhina ◽  
Inna Zhmurko
Keyword(s):  
Pension System ◽  
Pension Reform ◽  
Pension Funds ◽  
Standard Of Living ◽  
Main Task ◽  
Pension Insurance ◽  
Insurance System ◽  
The World ◽  
State Pension ◽  
Pension Insurance System

The purpose of this article is to analyze the experience of pension insurance systems in Europe, Asia, North and South America, Australia. The defining feature is that the existing pension insurance system in Ukraine does not perform its main task properly, since the rate of pension, for the most part, does not make it possible to maintain a decent standard of living for current pensioners. After analyzing the implementation of the pension reform in Ukraine, it should be emphasized that during the twelve-year period after the pension reform in the country there remain a number of unresolved issues regarding the pension provision of citizens, namely: aging of the population, which is one of the main factors that prompt the government to a new stage of reforming the pension system; the presence of arrears on contributions to compulsory state pension insurance; lack of proper differentiation of pension payments; shadow wages; lack of sound financial instruments for investing pension assets; unsatisfactory level of legal and financial awareness of the population in matters of pension provision; lack of interest of employers in financing non-state pension programs for employees, lack of confidence in the pension system of non-state pension funds. Methods. In most countries of the world, the problems of the pension system, same to what we have in our country, arose. But due to pension reform, they achieved successful results. Each country chose its own way of building a pension system based on its own demographic and socioeconomic features. However, despite this, the main task of any pension system is to secure from poverty and provide a pension that could guarantee a decent standard of living for a pensioner. Results. Ukraine is trying to build the pension insurance system, drawing on the best practice of the countries studied. Practical implications. It is found that the most effective and successful model of the pension system is considered to be Chilean, since the country has been using cumulative and voluntary pension systems for a long time, which are priority and allow to resolve the pension of their citizens financially, prudent and efficient investing of pension funds with lower rates of public investment income. The same model was taken as the basis in Peru, Argentina, Colombia and Kazakhstan. Value/originality. Analyzing the pension reforms implemented in Eastern Europe, it should be noted that part of the changes was due to the need to protect pensioners from poverty in the context of a sharp decrease in the rate of pensions because of the reduction of total pension contributions and the inability of the state to finance previous pension obligations. The real way to reduce the financial burden on employers and the state in the context of a solidarity pension system was to develop levels II and III of the pension system. It is noteworthy to study the foreign experience of the Eastern European country, such as Poland, which was one of the first to introduce a compulsory funded pension system.

scholarly journals PARTICIPATION OF THE POPULATION IN PRIVATE PENSION FUNDS: PROBLEMS AND MOTIVATION

2021 ◽  
Vol 1 (36) ◽  
pp. 515-521
Author(s):  
O. Dymnich ◽  
T. Stetsyuk ◽  
D. Gamankov ◽  
L. Parcheta
Keyword(s):  
Behavioral Finance ◽  
Pension System ◽  
Pension Funds ◽  
Behavioral Theory ◽  
Private Pension ◽  
The Third ◽  
Current State ◽  
Pension Schemes ◽  
Finance Theory

The purpose of this paper is a thorough analysis of the current state of the market of private pension insurance in Ukraine, a description of the main approaches of behavioral theory of finance as well as proposals for their use in domestic practice. The development of the national pension system only possible in case the population considerably participates in Private Pension Funds’ function. This pillar is in many countries the basis of pension systems. Undoubtedly, the PPFs as the third pillar of the Ukrainian pension system is essentially less popular than in foreign countries. However, we can affirm that the last years have become the most productive and effective for PPFs activity. It means that there is an understanding the direction to develop the private pensions system, and, consequently, the amount of attraction of individuals to greater provision at retirement age.  According to scientists, it is advisable to apply for the approaches based on the behavioral finance theory, which has gained its special acumen after the global financial crisis. During the last years, scientists working in the realm of behavioral finance theory have discovered that while people are trying to maximize their personal well-being, there are certain factors that significantly limit their choices. Recognition of the existence of these constraints has significantly changed the understanding of the modern science of the process of adopting individual economic and financial decisions. Especially those relating to long-term consumption and savings, such as: accumulation (accumulation phase) and decumulation (consumption phase) of assets in pension schemes. Thus, all these features of human behavior are successfully used in the world in the elaboration of pension schemes to enhance long-term retirement savings. The article developed scientific and methodological approaches to increase the motivation of people to pension savings in private pension funds on the basis of behavioral theory of finance, which, in turn, allows to justify effective development programs of the third level of the pension system of Ukraine. The analysis of the current state of the private pension market in Ukraine which is carried out in this paper, should result the clear understanding that in the current economic climate, the government’s main efforts to further reform the domestic pension system should focus on third-level pillar based on private pension funds operating under “defined contribution” pension schemes. The main advantage of the participation of private pension funds in the pension system is that they allow to distribute between its three components the risks associated with changes in the demographic situation (to which the solidarity system is most sensitive) and with fluctuations in the economy and capital markets (which has the greatest impact on the savings system). Thereby it allows to make the pension system more financially balanced and stable, which is a prerequisite for the effective functioning of the entire social insurance system of Ukraine.

Mandatory Pension Insurance: Theory and Practice of Russian Pension Reform

2006 ◽  
pp. 120-135
Author(s):  
E. Krivoshchekova ◽  
E. Okuneva ◽  
V. Okunev
Keyword(s):  
Pension System ◽  
Pension Reform ◽  
Pension Funds ◽  
International Experience ◽  
Theory And Practice ◽  
Model Forecast ◽  
Pension Insurance ◽  
First Results

Actual questions of creating a new pension system in Russia are considered in the article. Basing on international experience the authors analyze the Russian pension model, forecast probable problems, offer some mechanisms of their solving. The first results of nongovernmental pension funds activity in the market of mandatory pension insurance are presented.

scholarly journals Challenges and Perspectives of Development of Private Pension Funds in Serbia

2019 ◽  
Vol 52 (1) ◽  
pp. 69-80
Author(s):  
Marija Đekić ◽  
Miloš Nikolić ◽  
Tamara Vesić
Keyword(s):  
Pension System ◽  
Private Insurance ◽  
Pension Funds ◽  
Private Pension ◽  
Successful Implementation ◽  
Pension Insurance ◽  
The World Bank ◽  
Investment Opportunities ◽  
Further Development ◽  
Compulsory State

Following the successful implementation of the Chilean reform, the World Bank proposed a solution from three pillars of the pension system: compulsory state, compulsory private and voluntary private pension insurance. Serbia, like many other developed and undeveloped countries, has only adopted the third pillar, in addition to the already existing state. The introduction of compulsory private insurance was also considered, however, there are no market conditions or financial possibilities for achieving this idea. Voluntary pension funds in Serbia were introduced by the 2005 laws. There are seven voluntary pension funds in Serbia, managed by four management companies. So far, the funds have achieved positive yields, although due to limited investment opportunities, these rates were very modest. In addition to limited investment opportunities, one of the problems is the accumulation of funds. The problem of population savings has many sides, and it is certain that some of the causes can be sought in bad experiences from the past. The paper analyzes the limitations and possibilities for further development of private pension funds.

Institution of Banking Pension Provisions: Preconditions, Nature, Competition with Traditional Institutions

2015 ◽  
Vol 2015 (2) ◽  
pp. 27-55
Author(s):  
Yuriy Ezrokh
Keyword(s):  
Financial Institutions ◽  
Pension Fund ◽  
Pension System ◽  
Pension Reform ◽  
Banking System ◽  
Pension Funds ◽  
Econometric Analysis ◽  
Traditional Institutions ◽  
State Pension ◽  
Pension Benefits

The article analyzes the pension reform implemented in Russia in 2013–2014, provides the modeling of possible pensions, determines the efficiency boundaries for the use of insurance and savings-insurance schemes offered by the Pension Fund of Russia. The author examines the activities and effectiveness in managing pension savings and reserves from non-state pension funds, especially the system of voluntary savings insurance. The study identifies the challenges faced by these financial institutions, which constrain the development of the Russian pension system. Drawing on logical and econometric analysis the author identifies the competitive opportunity for banks to participate in the Pension Benefits Act, calculates the proposals’ efficiency for future retirees and the banking system as a whole, determines the contribution of the proposed solutions to enhanced competition and more competitive banking environment.

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