Translated material
Pension accounting
Most analysts initially predicted that there would not be a big revolution in this area in one year. The authority of the state structure as an accumulator and manager, in spite of everything, remains high. This was the case during the creation of both the banking system and the insurance system. According to the same scenario, most likely, the formation of a new pension system will occur. In 2004, the state management company accounted for 96.4% of the total volume of funds transferred to management companies, and the share of non-state management companies accounted for 3.6%, respectively. Despite significant opportunities for choice - in 2004, 55 non-state management companies were working with the population's pension funds within the framework of agreements with the Pension Fund of the Russian Federation, offering 63 investment portfolios - the population was quite conservative about the idea of transferring the rights to manage the funded part of the pension to private hands.
However, it should be taken into account that 2004 was not entirely indicative, a starting year, and in the future, as the population’s confidence grows, the role of non-state management companies in managing the population’s pension savings is possible, as is the case in the banking sector. An important role in this process should also be played by the performance results of management companies, which are still quite modest, which is explained by both objective market and regulatory factors. On the one hand, 2004 was not the best year in terms of stock market opportunities; on the other hand, restrictions imposed by law on investment instruments reduce the financial maneuverability of portfolio managers.
Based on the interests of the insured persons and the provisions of the federal law “On investing funds to finance the funded part of the labor pension in the Russian Federation,” the Pension Fund of the Russian Federation and the AK&M news agency entered into a cooperation agreement. The goals of the agreement are to increase the confidence of insured persons in the activities carried out as part of the pension reform in the Russian Federation, to provide information support to insured persons and to facilitate their exercise of the right to choose an investment portfolio (management company) when forming the funded part of a labor pension, and to encourage management companies to improve efficiency and reliability of investing pension savings by creating a competitive environment in the area of activity of management companies, as well as identifying unfair competition. As part of this agreement, the AK&M agency prepared a rating that shows the comparative effectiveness of the activities of non-state management companies in investing pension savings. The rating is constructed by aggregating a number of indicators characterizing the performance of non-state management companies.
The source of information is data from management companies’ reports on investing pension savings and data from management companies’ reports on income from investing pension savings.
Due to the fact that the volume of funds managed by the state management company (SMC) and non-state management companies is incommensurable, their comparison seems incorrect. Therefore, Vnesheconombank, which, by decision of the government, performs the functions of the State Management Company, is not included in the rating, and its indicators are given separately as reference information.
The rating methodology was audited by BDO CJSC Unicon."
Indicators used in compiling the rating
The ratio of investment income to the amount of funds raised. The indicator is calculated as the ratio of income from investment to the volume of pension savings received from the Pension Fund in 2004. In 2004, the Pension Fund transferred pension savings funds (SPN) twice: in March (SPN 2002) and in October (SPN 2003). To calculate the indicator, pension savings funds transferred by management companies to the Pension Fund were not subtracted from the amount of funds transferred from the Pension Fund. This indicator characterizes the effectiveness of the management company’s investment of pension savings and shows how much income an investment of 1 ruble brings. pension savings funds.
The ratio of investment income to required investment expenses and fees. The indicator is calculated as the ratio of income from investment to the amount of necessary expenses for investment and remuneration of the management company in 2004. Necessary expenses for investing pension savings include expenses that are directly related to the trust management of funds transferred by management companies, as well as payments for a specialized depository, auditors, insurers under compulsory liability insurance contracts, and other participants in relations for the formation and investment of pension savings. This indicator makes it possible to assess the return generated by the management company’s expenses associated with the activity of investing pension savings and characterizes the profitability of expenses.
Amount of funds raised. The volume of funds received by the non-state management company during 2004. In 2004, the Pension Fund of the Russian Federation transferred SPN twice: in March (SPN 2002) and in October (SPN 2003). Pension savings funds transferred by management companies to the Pension Fund of the Russian Federation were not deducted from the amount transferred from the Pension Fund of the Russian Federation. This indicator allows us to assess the share of management companies in the market and, to a certain extent, characterizes the effectiveness of activities to attract clients in 2004.
The share of necessary investment expenses in the volume of funds raised. The indicator is calculated as the ratio of the necessary investment expenses to the amount of funds received by the management company in 2004. The indicator characterizes the amount of management costs of the management company for 1 ruble. pension savings funds.
Rating methodology
Due to significant differences in the volumes of funds raised from the public, non-state management companies compiled two ranked lists (ratings). The first included companies, each of which received under management in 2004 more than 1% of the total volume of funds raised by non-state management companies. These are 16 management companies with funds from 625.72 million rubles. up to 35.02 million rubles. The second list included companies, each of which received less than 1% of the total amount of funds raised by non-state management companies in 2004. These are 39 management companies with funds from 0.9 million rubles. up to 22.61 million rubles.
For each indicator, a rating score was determined for each rating, proportional to the value of the indicator. The rating scores of the indicators were summed up with weighting coefficients (shown in the table), and thus the final rating score of the management company was determined. The place of companies in the ratings was determined in proportion to the value of the final rating points.
For management companies that manage several investment portfolios, data for all portfolios was summarized.
When calculating the final rating score, the following weighting coefficients of indicators were used: 0.4 for the ratio of investment income to the volume of funds raised, 0.3 for the ratio of investment income to necessary expenses for investment and remuneration, 0.2 for the volume of funds raised and 0.1 for the share of necessary investment expenses in the volume of funds raised.
Rating results
Several conclusions can be drawn from the research results below. Firstly, there is a low ratio of income from investment to the amount of funds received. However, this fact can be fully explained by both the not entirely favorable market conditions and significant restrictions on the choice of financial instruments for non-state management companies working with pension money.
Secondly, the starting year, contrary to expectations, demonstrated that indicators characterizing the performance of private management companies are not higher than similar indicators of the activities of state management companies. Of those management companies that attracted more than 1% of the total volume of funds raised by non-state management companies, only Capital Management Company showed a higher ratio of income from investment to the volume of funds transferred from the Pension Fund. This figure was somewhat higher in management companies working with small amounts of funds (less than 1% of the total volume of funds raised by non-state management companies), but even in this regard only a few were more effective than state management companies. At the same time, some non-state management companies ended 2004 with negative profitability.
At the same time, it should be taken into account that the presented rating is based on data based on the results of 2004, when the formation and development of mechanisms for attracting and investing pension savings by non-state companies was just taking place, and therefore, in the future the picture may change. For more objective conclusions, a longer statistical base is needed.
The rating of non-state management companies managing pension savings funds will be prepared on a regular basis, once every six months. The next rating based on the results of the first half of 2005 will be compiled in August 2005.
Rating of management companies performing trust management of pension savings funds based on the results of 2004
Management companies that attracted more than 1% of the total volume of funds transferred to the Pension Fund of Russia
| Place | Management company | Ratio of investment income to the volume of funds raised, % | Ratio of investment income to expenses | Volume of funds raised, million rubles. | Share of investment expenses in the volume of funds raised, % | Summary rating |
| 1 | LLC "UK "Kapital" | 3.99 | 7.45 | 625.72 | 0.18 | 96.01 |
| 2 | LLC "UK "NPF" | 3.08 | 8.14 | 263.94 | 0.16 | 80.77 |
| 3 | LLC "UK Rosbank" | 3.46 | 5.20 | 591.79 | 0.35 | 78.48 |
| 4 | LLC "UK "RN-Trust" | 3.25 | 6.63 | 98.76 | 0.20 | 71.23 |
| 5 | LLC "UK "Aton-management" | 2.64 | 6.80 | 66.03 | 0.13 | 65.59 |
| 6 | LLC "MC "Alfa Capital" | 3.12 | 5.56 | 66.33 | 0.25 | 63.37 |
| 7 | CJSC "Uralsib Management Company" | 1.97 | 4.88 | 153.63 | 0.22 | 54.04 |
| 8 | CJSC "Leader" (Pension Fund Asset Management Company) | 2.19 | 4.61 | 80.80 | 0.26 | 51.04 |
| 9 | CJSC "SOLID Management" | 1.85 | 3.71 | 286.08 | 0.31 | 49.86 |
| 10 | LLC "UK "NVK" | 1.11 | 5.19 | 35.02 | 0.10 | 43.23 |
| 11 | CJSC "Management of mutual investment funds "Montes Auri" | 2.11 | 3.71 | 35.69 | 0.36 | 40.95 |
| 12 | LLC "UK Industrial Construction Bank" | 1.58 | 3.67 | 104.35 | 0.29 | 39.70 |
| 13 | LLC "UK "Park Avenue Capital" | 1.29 | 3.27 | 163.06 | 0.27 | 39.15 |
| 14 | LLC "Pension Reserve" | 1.04 | 3.43 | 159.24 | 0.20 | 38.36 |
| 15 | LLC Management Company "Ak Bars Capital" | -0.43 | -1.01 | 271.44 | 0.42 | 12.00 |
| 16 | CJSC Management Company Troika Dialog | -1.18 | -3.96 | 135.33 | 0.30 | 9.64 |
Management companies that attracted less than 1% of the total volume of funds transferred to the Pension Fund of Russia
| Place | Management company | Ratio of investment income to the volume of funds raised, % | Ratio of investment income to expenses | Volume of funds raised, million rubles. | Share of investment expenses in the volume of funds raised, % | Summary rating |
| 1 | LLC "Financial investment company "Interfinance" | 6.09 | 8.21 | 0.90 | 0.13 | 79.78 |
| 2 | LLC "UK "Metropol" | 11.97 | 7.43 | 1.64 | 0.41 | 77.99 |
| 3 | LLC "UK "Regiongazfinance" | 2.57 | 6.96 | 22.61 | 0.11 | 77.25 |
| 4 | OJSC "UK "Pythagoras" | 7.22 | 6.53 | 16.94 | 0.38 | 76.54 |
| 5 | CJSC "UK "Analytical Center" | 7.16 | 7.40 | 3.23 | 0.29 | 75.32 |
| 6 | OJSC "Creative Investment Technologies" | 4.73 | 6.53 | 20.31 | 0.33 | 74.26 |
| 7 | CJSC "UK "Trinfico" | 4.19 | 7.70 | 2.60 | 0.21 | 72.56 |
| 8 | OJSC "AllianceRosno Asset Management" | 2.87 | 6.76 | 6.97 | 0.17 | 70.36 |
| 9 | CJSC "Metallinvesttrust" | 2.19 | 5.66 | 20.65 | 0.17 | 68.97 |
| 10 | CJSC "United Financial Group "Invest" | 3.63 | 5.90 | 5.30 | 0.25 | 66.50 |
| 11 | CJSC "UK "Brokercreditservice" | 1.91 | 5.92 | 17.20 | 0.17 | 66.38 |
| 12 | LLC "Investment Management Company "National" | 6.08 | 6.03 | 2.46 | 0.40 | 66.01 |
| 13 | LLC "UK" Management. Investments. Development" | 8.21 | 5.47 | 4.32 | 0.68 | 64.11 |
| 14 | LLC "UK "Portfolio Investments" | 2.08 | 5.50 | 7.73 | 0.17 | 62.45 |
| 15 | CJSC "National Management Company" | 3.42 | 5.23 | 7.41 | 0.31 | 61.77 |
| 16 | OJSC "Investment Management Company "Yamal" | 2.26 | 5.41 | 3.39 | 0.20 | 59.32 |
| 17 | LLC "UK "AGANA" | 2.62 | 5.74 | 1.17 | 0.26 | 58.16 |
| 18 | LLC "UK "Promsvyaz" | 3.64 | 4.59 | 9.90 | 0.47 | 57.60 |
| 19 | LLC "UK "VIKA" | 8.61 | 4.74 | 2.45 | 0.96 | 57.41 |
| 20 | LLC "Industrial Traditions" | 1.81 | 5.21 | 4.83 | 0.17 | 57.19 |
| 21 | CJSC "UK AVK "Dvortsovaya Ploshchad" | 2.18 | 4.81 | 7.09 | 0.24 | 56.35 |
| 22 | LLC "UK "Monomakh" | 2.97 | 4.92 | 1.86 | 0.31 | 55.72 |
| 23 | LLC "UK "Petrovsky Fund House" | 1.86 | 4.22 | 17.19 | 0.26 | 55.11 |
| 24 | OJSC "UK "Alemar" | 3.10 | 4.58 | 4.74 | 0.37 | 53.81 |
| 25 | CJSC "RTK-Invest" | 4.31 | 4.03 | 7.12 | 0.64 | 53.64 |
| 26 | CJSC "Pioglobal Asset Management" | 1.34 | 3.84 | 17.84 | 0.22 | 52.58 |
| 27 | LLC "UK "Doverie Capital" | 1.04 | 3.72 | 15.10 | 0.17 | 51.25 |
| 28 | CJSC "UK "Ermak" | 0.88 | 4.07 | 4.85 | 0.13 | 50.40 |
| 29 | Open Joint Stock Company "UK "NIKoil-Sberezheniya" | 2.06 | 3.92 | 5.71 | 0.34 | 47.89 |
| 30 | LLC "UK Non-State Pension Funds "Rostov Trust Company" | 1.84 | 5.19 | 1.17 | 0.34 | 46.89 |
| 31 | LLC Fondovaya Management Company "Professional" | 3.50 | 3.52 | 0.16 | 0.64 | 44.02 |
| 32 | CJSC "Region Asset Management" | 0.27 | 1.24 | 7.19 | 0.19 | 42.31 |
| 33 | CJSC "Pallada Asset Management" | 1.33 | 2.70 | 7.54 | 0.36 | 40.83 |
| 34 | LLC "UK "Bazis-Invest" | 0.90 | 2.92 | 1.44 | 0.22 | 40.62 |
| 35 | CJSC "UK "Golden Section" | 1.53 | 3.20 | 0.59 | 0.32 | 39.90 |
| 36 | CJSC Management Company Interfin Capital | -1.32 | -11.67 | 12.87 | 0.11 | 26.38 |
| 37 | LLC Management Company "Accord Asset Management" | -0.78 | -4.65 | 16.35 | 0.17 | 25.46 |
| 38 | LLC "UK "Finam Management" | -4.86 | -27.31 | 2.12 | 0.18 | 17.82 |
| 39 | CJSC "St. Petersburg Central Management Company" | -2.06 | -3.95 | 9.43 | 0.52 | 11.82 |
Indicators of the state management company
| Place | Management company | Ratio of investment income to the volume of funds raised, % | Ratio of investment income to expenses | Volume of funds raised, million rubles. | Share of investment expenses in the volume of funds raised, % | Summary rating |
| 1 | Vnesheconombank (GUK) | 3.51 | 8.00 | 92371.48 | 0.09 |