Pension funds steady despite volatile market in the second quarter

Irish managed pension funds achieved a steady performance amid the considerable stock market volatility of the second quarter of this year, new figures from Becketts Employee Benefit Consultants have shown.

Irish managed funds realised a median return of 5.4 per cent between April and June this year compared to a 7.5 per cent growth in the FT World Index over the same period - consistent with a 70 per cent average equity rating in Irish funds.

The best individual performance over the three months was achieved by Irish Progressive Life, which realised a return of 7.4 per cent. Next best was Acorn Life with 7 per cent, followed by Baillie Gifford with 6 per cent.

Over the year to June, Bank of Ireland was the strongest performer, with an 8 per cent return. This compares favourably to a median return for the year of just 0.4 per cent over the 16 funds analysed.

Seven funds produced negative returns over the period including those of Friends First, AIB and Eagle Star.

Eagle Star remained, however, the best performer over the 10 years to June, realising a return of 16.4 per cent for the period.

Montgomery Oppenheim continues to lead its rivals over three, five and seven years. This is despite the fund manager realising just seventh place in the year to June and a less-than impressive last in the second quarter of this year.