The open pension fund market in Poland is supported by many regulations in order to secure the interests of funds' members. One of them is based on the minimum required rate of return and deficit. Eventually deficit has to be covered and costs are incurred by the given universal pension society that manages the particular fund. Several years of observations led to conclusions that helped to prepare and introduce some improvements and corrections to the system. In this article author tries to estimate the influence of deficit on the performance of pension societies using quantitative methods. Although they are not free of defects they have numerous advantages, the most important being objectivism and precision. Results show that the amendments to the Act on the organization and operation of pension funds led to the reduction of expected deficit costs incurred by pension societies.

Keywords: open pension fund, general pension society, deficit.

  Dawid Stolarek, The Risk of Deficit in an Open Pension Fund - plik pdf; (141 KB)