The volume of assets in the individual pension scheme system in Spain increased by 8.1 per cent in 2023, according to the latest figures from Inverco.

Inverco revealed that assets rose by €6.34bn to €84.9bn during the year.

The company attributed the increase to the “excellent” performance of the financial markets in 2023, which led to an improvement in returns.

Variable income assets, such as equities, were the primary driver behind the positive performance, offering an annual return of close to 19 per cent.

The returns in the medium to long term on schemes with a long-term time horizon remained positive, Inverco found.

For example, at 20 years, pension schemes were expected to register an average annual return of 2.7 per cent.

Meanwhile, in the medium term of 10 and 15 years, pension schemes were forecast to return 2.6 per cent and 3.5 per cent respectively.

During December 2023, the estimated value of contributions to the individual pension system was €298m, while the value of benefits was €284m.

In 2023 as a whole, contributions to the individual pension scheme system totalled €1.55bn, 9 per cent less than the previous year, while benefits remained at the same level of €2.36bn.

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