Non-state pension funds (NPF) ask the Bank of Russia to postpone the introduction of rules of investment of pension savings through related management companies. In their view, is not only a negative impact on the work of funds, but will result in a loss of profitability for their clients. The Central Bank argued that restrictions on investments are aimed at preventing losses to the insured. Some experts believe that in the long run, the transition to management by independent companies, clients funds will benefit.The bill expands the use of the Central Bank reasoned judgment in relation to the activities of pension funds and introducing to them the concept of related party (see “Kommersant” on April 7), will require “enormous structural change” of the market, which would lead to “substantial cost” funds, but also to negative consequences for customers, reducing return on investment. Such concerns were expressed in a letter to the regulator of national Association NPF (NAPF) and the Association NPF (ANPP); the letter read “b”, the Association confirmed its dispatch.In early April, the Ministry of Finance published amendments to the law “About NPF” and “On Central Bank”, which provides for a departure from the concept of affiliated persons and replacing it with the definition of related entities. the Bank of Russia shall have jurisdiction to establish the signs of the connectedness of persons, including with the use of reasoned judgment.If the bill enters into force, the NPF cannot invest pension savings through related management companies. Now, according to “Expert RA”, through “captive” managers funds invest more than 90% of pension savings (more than 2.5 trillion). “Currently, more than 80% of pension funds are invested through asset managers, formally falling under the signs bound” was calculated pension Association. While the NAPF and ANPP remind that earlier it was introduced the principle of fiduciary responsibility of the funds, so the introduction of the ban on investing in the UK is a “backup measure”. According to pension lobbyists, the bill “can be traced to conceptual incompleteness of concepts such as related parties and the reasoned judgment” that carries a “discriminatory and corruption risks.” Therefore, they propose to limit the definition of coherence in law, by supplementing it with references on the definition of control and significant influence in the international financial reporting standards (IFRS).The Association believe that in the case of adoption of law it is necessary to increase the limits on investments in securities of companies associated with the NPF and the criminal code and the limits on Bank deposits-related funds, with a gradual decrease in their “to the original set of values”. In prot��VNOM case NPF “will be required in the short term to realize the assets of related entities” that may have a negative impact “on the financial result for the insured persons”. In General, the funds propose to postpone the bill for three years and during that time to develop regulations on disclosure of information and to work out norms on motivated judgment and connectedness entities. the Bank of Russia noted that the assessment of coherence of IFRS is not fully to evaluate all possible options for joint activities of persons in the financial market. Such factual circumstances and will be taken into account in the draft law. Established as normative acts of the Central Bank the limit of investment of NPF assets in related companies aimed at preventing possible losses of assets insured. thus, the regulator intends to discuss the draft law with representatives of the financial market, including the NPF.The main hitch, according to Deputy General Director of “Gazprombank — asset Management” Vadim Soskov, the transition to management negativnye companies may arise from the transfer of assets, some of which are independent of UK just do not want to take. “Therefore, during the transition period can be set decreasing limits on managing pension savings NPF-related companies,” he said. However, the transition in the long run will lead to benefits for customers NPF. “Sometimes associated with financial groups of companies have less interest in the result of the investment, often take unreasonably high remuneration”,— said the expert.Ilya Usov
