Romanian Govt. sketches tighter regulations for pension funds managers

The Romanian Government has drafted a series of important changes for private pension funds and their managers, including more transparent (smaller) fees and stricter control, Economedia.ro announced.

Firstly, there will be a single management fee charged, levied on the volume of assets under management, and no fee for individual contributions.

In addition, the state imposes stricter control of the Financial Supervisory Authority on the funds, their managers and the investments carried out by the funds.

At the same time, in the context in which the listing of a part of Hidroelectrica is being prepared, the Government allows pension funds to invest up to 10% in a company majority owned by the state.

Furthermore, the right of participants and beneficiaries to demand payment of the net personal asset or private pension will be imprescriptible compared to a three-year prescription period now.

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