Investment of pension funds in stocks, bonds, deposits and other securities are defined in the laws and bylaws governing fully funded pension insurance. Issuers of shares and bonds must meet a set of criteria in order to be included in the portfolios of pension funds.
On the domestic capital market, the Pension fund is one of the largest investors, with the Fund acquiring significant stakes in the ownership structure of Macedonian blue-chip companies that make profits, invest in their funds in order to increase sales in the future and distribute part of its profit in the form of dividends. In foreign markets, pension fund assets are invested in stocks and bonds of companies coming from the European Union and OECD, with high credit ratings and market capitalization.
The Company in the selection of companies to include in the portfolio of pension funds primarily identifies the long-term prospects of these companies in accordance with the long term nature of the obligations of the pension fund.
In foreign markets the assets of the Pension Fund, in addition to stocks and bonds of companies, are also invested in bonds issued by governments and central banks of EU member states and OECD countries which meet the criteria for a high credit rating and offer an appropriate yield vs. risk