The assets managed by the eight Austrian corporate provision funds (BVKs) stood at € 17.0 billion at the end of the 1st Quarter of 2023. This was an increase by € 400 million or 2.41% compared to year-end 2022. Following a negative investment performance for the full year in 2022 of -7.73% due to the volatile market environment surrounding the financial and capital markets, performance improved to +0.65% in the 1st Quarter of 2025. The average yield in the past ten years has been +1.28% p.a. The number of beneficiaries (entitled) (including multiple entitled benefits at multiple BVKs) rose to 10.59 million during the reporting year. As of 31.03.2023, the average entitlement amount stood at approximately € 1,607. These are the findings of the FMA’s report on the state of the corporate provision funds in the 1st Quarter of 2013 (“FMA-Bericht zur Lage der Betrieblichen Vorsorgekassen im 1.Quartal 2023”), which was published today.
Investment strategy based on security and liquidity
The obligatory capital guarantee combined with fluctuating payment requirements in line with the development of the employment market , also by law, require an investment policy that pays particular attention to security and liquidity. As of the end of the 1st quarter of 2023, corporate provision funds primarily invested their assets managed in debt securities (61.72%), cash at banks (10.00%), shares (12.96%), real estate (6.86%) as well as loans and credits (4.5%), with the remaining amount (3.98%) in other assets. The portfolio structure was therefore by and large unchanged in comparison with the preceding quarter – there were only minor shifts in shares (+2.23%) and cash at banks (-2.54%).
BVKs are required to form a capital guarantee reserve to cover the guarantee prescribed under law on the paid-up capital. At the end of 2022, depending on the BVK, they stood between 0.42% and 1.06% of the total amount of entitlements, or 0.73% on average.
The “Q1 2023 Report on Corporate Provision Funds” can be found on the FMA website (in German only) at: https://www.fma.gv.at/pensionskassen/offenlegung/quartalsberichte/
Journalists may address further enquiries to:
Klaus Grubelnik (FMA Media Spokesperson)
+43 / (0) 1 / 24959-6006
+43 / (0) 676 / 88 249 516