By the end of August 2022, the NAV of Croatian Mandatory Pension Funds amounted to HRK 132.5bn, an increase of 0.1% MoM and 2.9% YoY.
The Croatian Financial Services Supervisory Agency (HANFA) has published its monthly report on the changes in the Croatian mandatory pension funds. The NAV of the pension funds grew to HRK 132.5bn in August 2022, which is 0.1% higher on a MoM basis and 2.9% higher on a YoY basis. Meanwhile, net contributions into these funds amounted to HRK 705.5m in August, whilst they amounted to HRK 5.4bn since the beginning of the year.
Mandatory pension AUM structure change (HRKbn, January 2018 – August 2022)
Bonds’ increase of 0.2% MoM (or HRK 205.5m in absolute amount) and an increase of 4.3% YoY (or HRK 3.5bn) mostly contributed to the growth of NAV. Meanwhile, shares increased by 0.8% MoM (HRK 205m) and 2.1% (547.5m) YoY. Investment funds noted a decrease of 1.1% on a MoM basis (HRK 154.4m), but an increase of 2.4% on a YoY basis (HRK 325.5m). The next asset class, deposits and cash experienced a decrease of 3.3% MoM (or HRK 159.9m) and a 13.7% (or HRK 742.4m) YoY decrease. On the other hand, receivables grew by 60.2% MoM (or HRK 457.5m) and increased almost 10x (an increase of HRK 1.1bn), amounting to HRK 1.2bn. Lastly, we have the money market which also grew on a MoM basis by 17.4% (or HRK 155m), but decreased by 20.7% (or HRK 273m) on a YoY basis.
Looking over at the asset structure of the pension funds, bonds still amount for the vast majority of the total, currently at 64.7%, which amounts to HRK 85.7bn, an increase of 0.07 p.p. MoM and 1.1 p.p. YoY. The second largest asset class, shares, hold 20.4% (HRK 27bn) of the total, and have increased 0.13 p.p. MoM, but decreased 0.1 p.p. YoY. Following them, investment funds, with 10.7% (or HRK 14.2bn), a 0.13 p.p. MoM decrease but an unchanged YoY.
Current mandatory pension funds AUM (August 2022, %)
Dividing the holdings into domestic and foreign holdings, we can see that domestic bond holdings amounted to 92.5% of total bond holdings, while foreign bold holdings make up the other 7.5%. At the same time, domestic equity holdings account for 60.7% of the total and foreign equity holdings account for the rest of it, 39.3% of the total.
