Composition of equity and mixed pension funds in Slovakia

  • Mario Papik Comenius University in Bratislava


Research background: Since January 2013, pension fund management companies have had to establish at least two pension funds, one guaranteed bond fund, and at least one unguaranteed equity fund. This division has brought many changes in portfolios of pension funds in Slovakia. Currently, six pension funds management companies manage six bonds, six equity, five indexed and three mixed funds.
Purpose of the article: The aim of this article is to monitor the composition of assets during 2009 and 2014 and describe relation between equity and mixed pension funds’ profit and components of assets they own. The results of this research contribute to a better understanding of the importance of certain types of financial assets owned by equity and mixed funds and their impact on pension funds’ profit. Last, but not least, this article helps to improve the legislative management of pension funds and their impact on macroeconomic situation in Slovakia, because pension funds are still concentrating higher and higher amount of financial assets from government bonds to companies’ stocks.
Methods: This relation will be described by linear mixed-effects model with random effects of years and pension funds management companies. Random effects also help to identify the impact of changes during the period studied, and in case that profit is significantly different across the pension funds management companies.
Findings and Value added: The underlying model data will be chosen from annual balance sheets, income statements and notes of Slovakia-based equity and mixed funds during the period studied.


Act 43/2004 (2004) O starobnomdôchodkovomsporenía o zmene a doplneníniektorýchzákonov. Retrieved form
Amendment no. 137/2009 (2009). Ktorým sa mení a dopĺňa zákon č. 43/2004 Z. z. o starobnom dôchodkovom sporení a o zmene a doplnení niektorých zákonov v znení neskorších predpisov. Retrieved form
Amendment no. 252/2012 (2012). ktorýmsamení a dopĺňazákon č. 461/2003 Z. z. o sociálnompoistení v zneníneskoršíchpredpisov a ktorýmsamenia a dopĺňajúniektorézákony. Retrieved form
Amir, E., & Benarzi, S. (1998). The expected rate of return on pension funds and asset allocation as predictors of portfolio performance. Accounting Review, 73(3).
Chovancová, B. (2005). Kolektívne investovanie podielové a penzijné fondy. Bratislava: IURA Edition, spol. sr.o.
Kajanová, J. (2014). Podvojné účtovníctvo: Vybrané účtovné prípady. Bratislava: Kartprint.
Kajanová, J., & Papík, M. (2016).The influence of Slovak pension reform on the second pillar during the financial crisis. In Vision 2020: innovation management, development sustainability, and competitive economic growth. Spain: Seville
Li, Y., & Klumpes, P. (2007). Determinants of expected rate of return on pension assets: evidence from the UK. Accounting and Business Research, 43(1). doi: 10.1080/00014788.2012.685286.
Louton, D., McCarthy, J., Rush, S., Saraoglu, H., & Sosa, O. (2015). Tactical asset allocation for US pension investors: how tactical should the plan be? Journal of Asset Management, 16(7). doi: 10.1057/jam.2015.26.
Naczyk, M., & Domonkos, S. (2016). The financial crisis and varieties of pension privatization reversals in Eastern Europe. Governance, 29(2). doi: 10.1111/gove.12159.
OECD (2015). Pension markets in focus. Secretary-General of the OECD.
Orenstein, M. A. (2011). Pension privatization in crisis: death or rebirth of a global policy trend? International Social Security Review. 64. doi: 10.1111/j.1468-246X.2011.01403.x
Ostrowska, D. (2014). Insurance market development in comparison with other financial markets segments in Poland in the prosperity and recession. Oeconomia Copernicana, 5(3). doi: 10.12775 /OeC.2014.024.
Papík, M. (2015). Comparison of asset structure of insurance companies and pension funds. Globalization and its Socio-Ekonomic Consequences, 2.
Papík, M. (2016a). Composition of pension funds' investment portfolio and its impact on profit. In 13th International scientific conference of the European financial systems. Czech republic: Brno.
Papík, M. (2016b). The impact of investment portfolio of insurance companies on their profit. In 15th management in theory and practice: international scientific conference for phd students and young researchers. Bratislava.
Thomas, A., Spataro, L., & Mathew, N. (2014). Pension funds and stock market volatility: an empirical analysis of OECD countries. Journal of Financial Stability, 11(3). doi: 10.1016/j.jfs.2014.01.001.
Siegel, J. (2011). Stocks for the long run: the definitive guide to financial market returns and long-term investment strategies. New York: McGraw-Hill.
How to Cite
Papik, M. (2017). Composition of equity and mixed pension funds in Slovakia. Oeconomia Copernicana, 8(1), 51-64. doi:10.24136/oc.v8i1.4