Formation of Pension Savings from Pension Insurers: Comparative Analysis and Efficiency Assessment

Abstract

The subject of the research is the formation of pension savings on compulsory pension insurance by public and private pension insurers. The paper’s relevance comes from the lack of a conclusive solution in contemporary research to the dilemma of selecting between maintaining competition in the pension market and centralizing pension savings. The purpose of the research is to assess the effectiveness of the formation of pension savings for mandatory pension insurance in private pension funds in comparison with the Pension Fund of Russia, both from the point of view of the interests of insured persons and society as a whole. Research methods include comparative analysis and logical generalization, economic-mathematical and statistical methods, methods of financial mathematics. The information base of the study is data from the official websites of the Pension Fund of Russia, the Central Bank of Russia, the Federal State Statistics Service, the Deposit Insurance Agency, the Moscow Stock Exchange, VEB.RF, etc. The effectiveness of the formation of pension savings from public and private pension insurers was assessed by a number of criteria: from the standpoint of the interests of insured persons — these include the profitability of pension savings the reliability of the pension insurer, the possibility of choosing investment strategies; from the standpoint of the interests of society — the evaluation criterion is the use of pension savings as a long-term investment resource for economic development. As a result, it is concluded that the Pension Fund of Russia manages the pension savings of citizens more effectively than private pension funds. This raises the question of whether private pension funds should participate in compulsory pension insurance.