pokojninska družba a, dd company overview and price proposal

Partnerstvo v korist zavarovancev
POKOJNINSKA DRUŽBA A, D.D. COMPANY OVERVIEW AND PRICE
PROPOSAL
Company overview
Pokojninska družba A, d.d. was established by a group of large and successful companies in order to
insure their employees and the employees of other companies in the most economical and safest
manner. The ownership of the company is dispersed between 18 corporate shareholders with no
shareholder owning more than 9% of the company. We operate collective insurance exclusively, which
enables us to operate at lower costs. Our fees are equal for all clients guaranteeing fair and equal
treatment for all. The main policy of our pension fund is “partnership for the benefit of our
members” which has been the foundation of the fund ever since the start in 2001.
To date, the company has more than 40,000 insured members with collected premiums totaling 193
million EUR. Our clients are some of the largest companies present in the Slovene market, for
example: Lek (a Sandoz company), GKN Driveline, SKB Bank (part of Societe Generale group),
Mercator, Petrol, Sava, SIJ, Adria Mobil, Saubermacher Slovenia, OBI and many others.
Pension fund performance
The pension fund of Pokojninska družba A, d.d. has a positive investment track record and we invest
our assets with the utmost care and consideration. The majority of assets are invested in conservative
investments such as state bonds and other securities and only less than 5% of the portfolio is invested
in stocks.
In the period from 2001 to 2013 we delivered a cumulative yield of 78,07% to our members and have
had a positive yield every year, which the chart below illustrates. The average yearly cumulative yield is
4,8%
Price proposal
 Management fee 0,55% (calculated from the pension assets of the individual member and
charged annually to the individual member)
 Entry fee 3% (charged on every premium payment to the individual member)
 Custodial fee 0,065% (calculated from the saved assets of the individual member and charged
annually to the individual member)
Pokojninska družba A, d.d., Tivolska cesta 48, 1000 Ljubljana, Tel.: +386 (0)1/230 77 21, www.pokojnina.si
Partnerstvo v korist zavarovancev
Slovene pension system
The Slovenian pension system is a three-pillar system, with the dominant role still played by the first,
public pillar. This part of the system is mandatory. Benefits are calculated in line with the pay-as-yougo mechanism and financed through contributions paid by employees. According to the new pension
law, the ratio between pension and salary is set at 57.25%, but all calculations predict that this
percentage will hold only until 2020. Then, due to demographic trends, the public pension will be
slowly decreased to 40% of net salary, which will not be sufficient for decent living in retirement.
Voluntary occupational pension plan
The second pillar (voluntary occupational pension plan) is represented by pension funds mostly
financed by employers and supported by the state with income tax relief.
The voluntary occupational pension plan is a form of saving for old age by which the insured person
or the employer finances a monthly or yearly premium. The interest for the premium is paid on the
achieved yield. At the time of retirement, a life insurance policy with a life annuity is bought with the
funds on the account. On the basis of this policy, an additional monthly pension is paid out to the
insured person until their death.
Guaranteed yield
The achieved yield is established each month and cannot be less than the yield guaranteed by the
pension company. The Insurance Supervision Agency controls the operations of the insurer. Thus, the
security of the payments is comparable with the security of saving deposits in banks.
Tax incentives
The monthly premium of up to 5.844% of gross salary is tax deductible. For the premium financed by
the employer or employee, taxes and contributions from the premium are not charged and the
premium reduces the profit taxable base of the company. The premium is not regarded as a salary
payment.
The employer can adopt a pension scheme in which part of the premium is financed by the employer
and part by the employee. The employee can also be stimulated by the employer and adopt a scheme
in which the employer pays part of the premium only if the employee pays the other part: for example
50% of the premium by the employer and 50% by the employee or any other combination.
Additional contact & information
Pokojninska družba A, d.d.
Tivolska cesta 48, 1000 Ljubljana, Slovenia
T: +386 (0)1 230 77 21
F: +386 (0)1 230 77 55
E: info@pokojninskad-a.si
W: www.pokojnina.si