Pension Funds record modest returns amid volatile market performance

Poland's open-ended pension funds (OFEs) recorded an average return on investments of 21.46% over the past two years, the Pension Fund Supervisory Office (UNFE) said Friday. Over the same period, inflation was 13%, stock prices on the Warsaw Stock Exchange (WSE) fell by an average of 23%, while investment on the interbank market yielded a return of 38%. All pension funds had returns above the minimum level, calculated by UNFE at 10.7%, with OFE Polsat the best performer at 27%. However, UNFE said that some of the funds manipulate stock listings to achieve good results before the quarterly calculation period. (Gazeta Wyborcza, Jan. 5-6, p. 24) T.J.