Euro and equity rallies boost Belgian pension funds to 6% in 2017

first_imgBelgian pension funds generated an average investment return of 6% for 2017, up from 5.1% in 2016, according to the Belgian industry association PensioPlus.Investment returns averaged 6.8% a year since 1985, the association added.PensioPlus said: “Last year was characterised by strong economic growth, while central banks maintained their policy of quantitative easing [QE]. These two factors led to stock market climbs and consistently low interest rates. Equally notable in 2017 was the strong performance by the euro.”The return was calculated on a weighted average basis from a sample of 58 schemes with combined assets of €17.6bn, out of a total €29.8bn assets under management in the second pillar. At end-2017, Belgian pension funds had allocated 43% of their assets to fixed income, 38% to shares, with 11% in alternatives and 6% in real estate.While equity allocations remained roughly the same as the previous year, allocations to fixed income showed a slight fall. However, the percentage held in alternatives – such as insurance, infrastructure, private equity and convertible bonds – rose from 7% in 2016.PensioPlus said that, in 2018, it expected the European Central Bank’s QE policy to be phased out, leading to a risk of asset prices overheating and higher inflation in the long term. Meanwhile, stock market volatility could increase.The organisation warned: “Since pension funds have as much as 43% invested in debt, if their investment strategy remains unchanged, any increase in interest rates could have a negative effect on future returns.”However, it pointed out that stress tests carried out by the European Insurance and Occupational Pensions Authority (EIOPA) showed that Belgium’s pension funds continued to be adequately funded.PensioPlus said: “EIOPA’s study shows that Belgian pension funds are resistant to stress, both in periods of crisis when stock markets are falling sharply, and when the long-term interest rate is falling.”Meanwhile, with 19 pan-European pension funds already based in Belgium, the country is forging ahead with its ambition to triple second pillar pension assets under management to €100bn by 2025, 30% of which would be linked to pension assets of multinational companies.last_img read more

LeBron James goes into detail about relationship with Kyrie Irving

first_img“I think I’ve always loved Kyrie, from before I met him, until when I became his teammate, to even now,” James said Saturday during his All-Star weekend media availability. “So the phone call, more than for me, I think just to see his growth … It takes a real man and a real person — and a real person to understand who they are — to be able to call, or to do anything and be able to see their wrongdoings or believe they have some wrongdoings.  “And then be able to come to grips with that and then be able to either apologize or say that, ‘At that point and time, I thought I was ready for something, but I really wasn’t.’ I love Kyrie. I love everything about Kyrie.”LeBron James on his phone call from Kyrie Irving: It takes a real man to come to grips with what happened and apologize or say that, “‘At that point in time, I thought I was ready for something, but I really wasn’t.’” pic.twitter.com/2Q74TOm8t2— Kyle Goon (@kylegoon) February 16, 2019Amid frustration with the Celtics’ youth, Irving revealed last month that he called James to apologize for “being that young player that wanted everything at his fingertips” when the two were teammates for the Cavaliers for three seasons. The call came after Irving was critical about some of his current teammates, saying, “The young guys don’t know what it takes to be a championship level team.”Irving, on the other hand, wasn’t as willing to talk about his relationship with the Lakers star. When the topic came up, Irving simply said, “That’s none of your business.”Kyrie when asked about the nature of his relationship with LeBron“That’s none of your business.”Next question. #NBAAllStarMediaDay pic.twitter.com/nD7YAjXb3i— Karisa Maxwell (@KarisaMaxwell) February 16, 2019 LeBron James was candid on his relationship with Celtics star Kyrie Irving after the two made headlines earlier this season following the Celtics guard’s apology phone call.James explained he has “always love(d) Kyrie” and that he saw a lot of “growth” in the 26-year-old to be able to make a phone call like he did.last_img read more