Confidence in the Global Economy Boosts Pension Funds

Irish pension managed funds delivered further positive returns during February, as all of the main global equity markets made gains over the month. Optimism over the global economic outlook was a main driver of markets. The ECB’s action on quantitative easing and an extension of the Greek debt deal saw confidence return in the Eurozone, while comments from Fed Chair Janet Yellen led investors to believe that interest rate rises in the US would not occur before June.

The mean managed fund gain for the month was 5.4%. Merrion Investment Managers took the top spot with a return of 6.3% for the month, while Friends First/F&C propped up the league table with a return of 4.8%. Pension managed funds have returned a very strong 10.4% on average over the first two months of 2015. Merrion Investment Managers led the charge with a return of 12.1%, with New Ireland lagging the peer group but still delivering 9.2% so far this year. Over the past twelve months, the average fund return was 25.8%. Returns for the year ranged from 28.8% (Davy Asset Management and Merrion Investment Managers) to 20.6% (New Ireland).

The average managed fund return has been a very strong 16.8% per annum over the past three years. The five-year average return is a healthy 12.9% per annum. Irish group pension managed fund returns over the past ten years have been 6.5% per annum on average.

The full table of results can be found over at our investment fund performance calculator.