Pension News UK Pension Funds Saw Returns Of 14 percent In 2009

Written by Editorial Team

07 January 2010 / by Rebecca Sargent

UK pension funds saw average returns of 14 per cent in 2009, estimates released by BNY Mellon Asset Servicing have revealed.

According to the figures, these are the best pension fund returns since 2005, with an estimated real return of 14.9 per cent when measured against RPI inflation for 2009.

The estimates also reveal that pension funds have made gains over the three year period to December 31 2009, with an estimated average return of 1.7 per cent per annum.

Overall, UK equities posted returns of 30.1 per cent during 2009, while Bonds and UK bonds showing negative returns.

Commenting on the results, Alan Wilcock, BNY Mellon’s performance and risk manager said: “Following the worst annual return for over 30 years in 2008, pension funds clawed back most of those losses by the end of 2009, despite the poor start to the year.”