| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Follow Finfacts on Twitter

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Irish Economy Last Updated: May 8, 2014 - 1:57 PM

Irish pension managed funds performed poorly in April
By Michael Hennigan, Finfacts founder and editor
May 8, 2014 - 9:58 AM

Email this article
 Printer friendly page

Irish pension managed funds delivered positive returns on average during April, with a mean gain of 0.3% for the month, according to Rubicon Investment Consulting.

Most funds delivered broadly similar returns, with Prescient Investment Managers taking top spot with a return of 0.8% for the month, while Merrion Investment Managers propped up the league table with a return of -0.5%. Managed funds returned 2.2% on average over the first four months of 2014. Setanta Asset Management delivered the strongest return over the quarter at 3.4%, while Prescient Investment Managers produced the weakest return, returning 1.0% over the same period. Over the past twelve months, the average fund return was 10.2%. Returns for the year ranged from 12.0% (Irish Life Investment Managers) to 8.9% (Prescient Investment Managers).

Fiona Daly, Rubicon Investment Consulting, said: "The average managed fund return has been a healthy 9.6% per annum over the past three years. The five-year average return is very strong, at 11.6% per annum. Irish group pension managed fund returns over the past ten years have been 5.1% per annum on average, compared with the Irish inflation rate of 1.6% per annum over the same time horizon. All of the managed funds surveyed outperformed inflation over this period. "

The Aon Hewitt Managed Fund Index, an index of traditional Irish pension managed funds, increased by 0.66% in April. This has contributed to the index delivering a positive return of 3.27% since the beginning of the year.

Global equity markets rose in April with the FTSE All World Index increasing +0.4% in euro terms. The FTSE UK was the best performing region in Euro terms, returning +3.7%.

Resurgent fears over conflict in the Ukraine impacted returns with emerging market equities falling by -0.3% in April as measured by the MSCI Emerging Markets Index. The FTSE Japan Index experienced another negative return in April of -3.2% in Euro terms having failed to produce a positive monthly return since the beginning of the year. The ISEQ Index also continued to fall in April for the second month, returning -1.7%.

"Continued tensions in the Ukraine have resulted in another poor month for riskier assets as emerging market equities fell. By contrast the global equity market delivered positive returns for the month overall," commented Darragh Gavin, investment consultant with Aon Hewitt.

Eurozone government bonds experienced a strong month again in April, as bond yields fell. The German 10 year bund yield fell 11 bps to 1.47% while the French 10 year yield fell 15 bps to 1.95%. Peripheral Eurozone bond yields also fell over the month, with the Portuguese and Spanish 10 year bond yields decreasing 43bps and 22bps respectively over the month. The Irish 10 year bond yield fell 2 basis points (bps) to 2.82%.

"Irish Defined Benefit (DB) pension schemes will have seen their liabilities rise in April given the fall in core yields. Negative performance from riskier growth assets and subdued returns elsewhere has also had a negative impact on schemes which will generally see a fall in their funding level," continued Gavin.

LCP Ireland said that Developed World equities increased by 0.5% over the month, and Emerging Market equities were up 0.6%. Long dated AAA Eurozone bonds also increased in April as bond yields fell further.

The funding level of a typical DB scheme decreased by approximately 0.1%, as liabilities increased faster than assets.

DC (Defined Contribution) schemes with a high allocation to bonds performed best in April.

LCP report

Related Articles
Related Articles

© Copyright 2011 by Finfacts.com

Top of Page

Irish Economy
Latest Headlines
Finfacts launches new news site
Irish Farmers & Milk Prices: 'Shackles' off in April; Demanding safety-net in August
Irish pension managed funds returns at over 12% year-to-date in 2015
Irish chartered accountants' salary packages surge 13% in 12 months
Irish services PMI fastest rate since late 2006; Official data up only 2.4% in 12 months
Irish Economy: Tax €893m above target in year to July — €653m from corporation tax
Fact and Fiction: Time to review Ireland's economic statistics?
Irish M&A deals H1 2015: Dutch or UK firm acquires Irish firm for €32.6bn - they are both American
Irish manufacturing PMI strong in July
Irish Economy: Fall in GNP in Q1 2015; GDP rises
Irish Economy 2015: Central Bank lauds strong recovery; Time to start paying down debt
Irish Budget 2016: Ibec demands 20 tax cuts, spending and investment rises
Low pay in Ireland; Lowest social security & corporate taxes in Europe
Ireland vs Greece: Enda Kenny's false claims on growth, taxes and debt
Irish standard of living in 2014 below Euro Area average, Italian level; Prices 5th highest in EU28
Irish goods exports rose a record 30% in April - due to fake tax-related transactions
Mexican tall ship to sail into Dublin on June 17th
Irish industrial production up 20% in first four months of 2015; Construction down 2.6% in first quarter
Irish Economy 2015: ESRI slams return to boom-time pro-cyclical fiscal policy
Irish pension fund returns in average range 1.6% - 1.8% in May 2015
Irish service sector PMI remains strong; Tax avoidance clouds data
Ireland: Official unemployment rate at 9.8% in May; Broad rate at 19% — 440,000 people
Ireland: Fiscal Council warns of dodgy forecasts, no plan; OECD warns of new property bubble
Irish Public Finances: Tax revenue in first five months of 2015 €734m ahead of target
No simple measure of economic progress in Ireland: GDP & GNP defective
Irish manufacturing PMI rises in May; Production up unbelievable 45% in year to March!
ESRI says data volatility hinders Irish economic forecasting; Tax avoidance taboo cause
Ireland at 16 in international competitiveness ranking; US, Singapore and Hong Kong on top
Irish Economy 2015: Sectors to add 200,000 jobs?; Broad jobless rate at 19%
Irish Export Performance: Myths and reality - Ireland is a poor exporter
Irish Economy: 41,300 jobs added in 12 months to Q1 2015 - Construction up 19,600
China-Ireland: Economic relationship on a slow burn
Estonia, Austria, France, Ireland head global alcohol rankings
Irish Exchequer Returns: Tax receipts under target in April but ahead in year
Irish service sector PMI rose in April
Irish manufacturing PMI remained strong in April- includes overseas manufacturing
Irish Live Register + 90,000 activation scheme numbers at 439,000 in April
Ireland: Coalition drops 2018 full-employment target
Ireland Spring Statement: Noonan promises 200,000 net new jobs by 2018
Irish Economy 2015: Retail sales volume up 1.4% in month of March