Pension fund savings maintain their upward trend at the end of June

These days, the more than 19 million members, whose resources are managed by Colfondos, Porvenir, Protección and Skandia, are receiving statements with the balance of their pension savings, corresponding to the second quarter of this year.

According to analysis by Asofondos, savings owned by workers maintain an upward trend, “At the end of June, total savings reached $437.66 billion, that is, $56.1 billion more than the figure seen in June 2023”revealed Daniel Wills, Vice President of Technical and Economic Studies at Asofondos.

Read: Santiago Montenegro retires from the presidency of Asofondos

The best results were obtained by nine out of 10 affiliates, that is, the youngest segments, whose savings are in the ‘moderate’ and ‘higher risk’ portfolios, in which an effective annual return of more than 50% was achieved.

“For this majority, the results have been very favorable. In June alone, the aforementioned portfolios accumulated returns of $8.5 and $3.7 billion, respectively.”explained Wills, who added that the savings of the rest of the workers remained practically constant, with slight increases.

Pensions

iStock

Read: Asofondos defends its role during the debates on pension reform

When looking at the performance of long-term savings, such as pensions, the most relevant information is in the broader time windows, “for example, when looking at the data from the last decade, real returns range between 7.6% and 8.5% effective annual, that is, five points above the inflation target of the Bank of the Republic.” Or to put it more simply: if someone had $100 in their pension fund 10 years ago, their balance was more than $200 at the end of last June.

BRIEFCASE

Source link