The first three players control 72% of the mandatory pension market, after the first contribution round
The mandatory private pension companies (pillar II) from TOP3 control almost 72% of the market after the first contribution collection round, to be actually paid tomorrow. To compare, market concentration according to the number of participants was 68.2% in the hand of the first three players. The differences come from portfolio quality - different shares of empty accounts or different income of participants, leading also to differences in the collected contributions.
The preliminary data that CNPAS sent today to the pension companies seem to indicate that ING (the market leader) is the big winner of the first round of contributions. ING shall collect RON 33,771,496 tomorrow, meaning a 38.3% share from the total RON 88.19 million on the market. According to the number of participants, ING’s market share was 33.2%.
On the other hand, GENERALI Pension Fund (the third ranking company) shall collect only RON 7,006,457, the amount related to an 8% market share, compared to the 9.4% according to the number of participants. ALLIANZ-TIRIAC Private Pensions seems to be in a neutral position and, based on the preliminary data, estimated to have maintained the market share (after the first collection) equal to the share according to the number of participants, namely more than 25.6%.
"This is still preliminary data and we are waiting for a confirmation by tomorrow, when payments will actually be made. Until then, we still talk about preliminary data. We shall see the exact situation tomorrow", said Crinu ANDANUT, CEO of ALLIANZ-TIRIAC Private Pensions.
UPDATE: AVIVA (ranking 4th) shall collect RON 5,952,208 in contributions tomorrow, stated for portal www.privatepensions.ro Shah ROUF, CEO of the AVIVA group in Romania. The amount relates to a 6.75% market share of the total contributions to be transferred tomorrow, compared to the 7.35% market share in terms of number of participants in the fund. "If ING grew so much in market share, compared to the share by number of participants, this means that all companies with lower percentages are sharing the market share loss, to a different extent", stated Shah ROUF, who mentioned that the first round of contribution collection is below the company’s expectations, namely up to RON 7 million, compared to the 6 million to be collected tomorrow.
