A Mild May for Irish Pension Managed Funds

As markets continued to recover from Covid-19 induced losses, Irish pension managed funds gained 2.5% on average during May. Zurich Life topped the table over the month, with a return of 4.3%, while New Ireland lagged the peer group with a return of 0.5%.

Following on from the worst quarterly performance since the financial crisis, April and May’s gains have merely tempered the losses so far this year. Over the first five months of 2020, Irish pension managed funds have lost an average of 6.2%. Of the funds surveyed, Merrion Investment Managers’ delivered the best - and only positive - performance over the year to date, with a return of 3.4%, while New Ireland’s underperformed the rest of the peer group, with a return of -14.3%. Over the past twelve months, Irish pension managed funds have delivered a 3.8% gain on average. Returns for the past year ranged from +11.1% (Zurich Life) to -4.8% (Setanta Asset Management).

The average managed fund return has been 3.5% per annum over the past three years. The five-year average return is just 3.2% per annum. Irish group pension managed fund returns over the past ten years have been a somewhat healthier 7.9% per annum on average.

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

Please note: The returns quoted are those experienced by a specific peer group of active balanced managed funds which are used by many pension schemes. Details of these funds can be found on our calculator help page. These returns may be viewed as a rough proxy for the performance of Irish pension funds in the “growth” stage; however, they do not necessarily equate to the experience of the pensions market as a whole, or of any specific pension scheme or member. Nor do they necessarily reflect the relative performance of the investment managers in relation to their broader offerings. These figures are provided for information only and do not constitute investment advice. You should always seek independent financial advice before making any investment decisions.