A pension fund, also known as a superannuation fund in some countries, is any plan, fund, or scheme which provides retirement income.
Pension funds typically have large amounts of money to invest and are the major investors in listed and private companies. They are especially important to the stock market where large institutional investors dominate. The largest 300 pension funds collectively hold about $6 trillion in assets. In January 2008, The Economist reported that Morgan Stanley estimates that pension funds worldwide hold over US$20 trillion in assets, the largest for any category of investor ahead of mutual funds, insurance companies, currency reserves, sovereign wealth funds, hedge funds, or private equity.
The Federal Old-age and Survivors Insurance Trust Fund is the world's largest public pension fund which oversees $2.72 trillion USD in assets.
Open pension funds support at least one pension plan with no restriction on membership while closed pension funds support only pension plans that are limited to certain employees.
Closed pension funds are further subclassified into:
A public pension fund is one that is regulated under public sector law while a private pension fund is regulated under private sector law.
In certain countries the distinction between public or government pension funds and private pension funds may be difficult to assess. In others, the distinction is made sharply in law, with very specific requirements for administration and investment. For example, local governmental bodies in the United States are subject to laws passed by the states in which those localities exist, and these laws include provisions such as defining classes of permitted investments and a minimum municipal obligation.
|Country||Fund||Assets US$ (in billions)||Reporting
|United States||Federal Old-age and Survivors Insurance Trust Fund (Social Security)||$2720||2018||1935||Taxation|
|Australia||Australian National Superannuation Scheme||$2530||2017||Employer & Employee Contribution|
|Norway||Government Pension Fund of Norway||$1046||2015||1990||Oil|
|Japan||Government Pension Investment Fund||$1103||2015||2006||Non-commodity|
|United States||Civil Service Retirement and Disability Fund||$915||2018||1920||Employer & Employee Contribution|
|United States||Military Retirement Fund||$730||2018||Employer Contribution|
|United States||Thrift Savings Plan (TSP)||$546||2018||1986||Employer & Employee Contribution|
|South Korea||National Pension Service (NPS)||$462||2017||1988||Non-commodity|
|Netherlands||Stichting Pensioenfonds ABP (ABP)||$388 (€344)||1922||Non-commodity|
|Canada||Canada Pension Plan and CPP Investment Board||$317||2017||1965||Non-commodity|
|Canada (Quebec)||Caisse de dépôt et placement du Québec (The Caisse, or CDPQ)||$299||2017||1965||Non-commodity|
|United States (California)||California Public Employees' Retirement System (CalPERS)||$370||2019||1932||Non-commodity|
|China||National Social Security Fund||$251||2015||2000||Non-commodity|
|Singapore||Central Provident Fund||$208||2014||1955||Non-commodity|
|United States (California)||California State Teachers' Retirement System (CalSTRS)||$206||2017||1913||Non-commodity|
|Malaysia||Employees Provident Fund||$185||2014||1991||Non-commodity|
|Netherlands||Stichting Pensioenfonds Zorg en Welzijn (PFZW, formerly PGGM)||$183 (€162)||1969||Non-commodity|
|Canada (Ontario)||Ontario Teachers' Pension Plan||$176||2016||1989||Non-commodity|
|India||Employees' Provident Fund Organisation (EPFO)||$128||2015||1952||Non-commodity|
|Denmark||Arbejdsmarkedets Tillægspension (ATP)||$119||2018||1964||Non-commodity|
|South Africa||Government Employees Pension Fund (GEPF)||$112 (ZAR1426b)||1996||Non-commodity|
|Brazil||Caixa de Previdencia dos Funcionários do Banco do Brasil (PREVI)||$80||1904||Finance|
|United States (Ohio)||State Teachers Retirement System of Ohio (STRS Ohio)||$76||2017||1919||Defined Benefit Pension|
|Russia||Russian National Wealth Fund||75,6 ||2018||2008||Oil|
|France||AGIRC - ARRCO||$70||2015||2001||Non-commodity|
|France||Pensions Reserve Fund (France) (NPRF)||$56||2001||Non-commodity|
|Ireland||National Pension Reserve Fund (NPRF)||$30||2001||Non-commodity|
The pension system in Romania is made of three pillars. One is the state pension (Pillar I – Mandatory), the second is a private mandatory pension where the state transfers a percentage of the contribution it collects for the public pension, and the third is an optional private pension (Pillar III – Voluntary).
The Financial Supervisory Authority – Private Pension is responsible for the supervision and regulation of the private pension system.
Social Security Institution was established by the Social Security Institution Law No:5502 which was published in the Official Gazette No: 26173 dated 20.06.2006 and brings the Social Insurance Institution, General Directorate of Bağ-kur and General Directorate of Emekli Sandığı whose historical development are summarized above under a single roof in order to transfer five different retirement regimes which are civil servants, contractual paid workers, agricultural paid workers, self-employers and agricultural self-employers into a single retirement regime that will offer equal actuarial rights and obligations.
OYAK (Ordu Yardımlaşma Kurumu/Armed Forces Pension Fund) provides its members with "supplementary retirement benefits" apart from the official retirement fund, T.C.Emekli Sandığı/SSK, to which they are primarily affiliated.
In addition to the retirement benefit, OYAK pays "disability benefits" to the members on duty when they become partially or fully disabled as well as "death benefits" to the heirs of the deceased member if the death occurs during the member's subscription to the foundation.
OYAK is incorporated as a private entity under its own law subject to Turkish civic and commercial codes. OYAK, while fulfilling its legal duties, as set in the law, also provides its members with social services such as loans, home loans and retirement income systems.
The initial source of OYAK's funds is a compulsory 10 percent levy on the base salary of Turkey's 200,000 serving officers who, together with 25,000 current pensioners, make up OYAK's members.
Some other Turkish private pension funds:
In the United States, pension funds include schemes which result in a deferral of income by employees, even if retirement income provision isn't the intent. The United States has $19.1 trillion in retirement and pension assets ($9.1 trillion in private funds, $10 trillion in public funds) as of December 31, 2016. The largest 200 pension funds accounted for $4.540 trillion as of September 30, 2009.