The pension portfolio in Russia has grown significantly, reaching over ₽8 trillion by the end of 2024. This growth is attributed to several factors, including the introduction of the long-term savings program (LSP), increased funds flowing into non-governmental pension coverage (NPC), and returns on various investments.
In its inaugural year, the LSP attracted 2.8 million participants, which represents half of those partaking in the NPC program that has been operational for over two decades. By year-end, investments in the LSP amounted to approximately ₽205 billion. This includes pension savings transferred from the compulsory pension insurance system. Furthermore, four new non-governmental pension funds (NPFs) entered the market for the first time in a decade, illustrating the growing appeal of the program.
During the fourth quarter of 2024, there was a shift in the NPF portfolio towards investments in money market instruments, aligning income earnings closely with the key rate. Investment in deposits also saw an increase, although there was a decline in investments in federal government bonds.
Further details are available in the Review of Key Indicators of Non-governmental Pension Funds for 2024.
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