Crossing the Rubicon

The latest news and opinion from Rubicon Investment Consulting

A bright September for Irish Pension Funds

Irish pension funds returned 2.5% on average during September. Merrion Investment Managers topped the league table with a gain of 3.6%, while Friends First/BMO lagged the peer group with a return of 1.7%.

However, losses in the previous two months mean that managed funds gained just 1.3% over the third quarter, on average. Merrion Investment Managers turned in the best quarterly performance with a gain of 2.1%, while Davy Asset Management delivered the worst, with a gain of 0.4%.

The first nine months of 2017 have seen pension funds gain a respectable 4.3% on average. This figure masks a range of performances, however, as returns for the year to date ranged from 6.5% (Standard Life Investments) to 2.4% (Davy Asset Management). Over the past twelve months the average fund return was 9.5%. Zurich Life top the table over the past year with a return of 12.2%, while Davy Asset Management produced the lowest return at 6.9%.

The average managed fund return has been a healthy 8.1% per annum over the past three years. The five-year average return is a robust 10.7% per annum. Irish group pension managed fund returns over the past ten years have been 4.6% per annum on average.