Lucky 13 as pension fund assets grew 4% last year

The value of pension funds across the 13 largest pension markets — of which Ireland is one — grew by 4% during 2011 to reach a new high of $28 trillion.

The increase is a continuation of the growth trend evident since 2009, when assets grew by 17%. That performance followed on from a 21% fall in asset value in 2008. But global pension fund assets have now grown at over 6%, on average, per annum since 2001. However, despite the growth, pension fund balance sheets weakened last year — with the ratio of global assets-to-liabilities well down from its peak in 1999.

The figures, from New York-based professional services company, Towers Watson, show pension assets amounted to 72% of global GDP, last year. This was slightly lower than in the previous year, but still well up on the 61% level recorded in 2008.