Consu nsumer er a and C Compet etit ition ion c challe lleng - - PowerPoint PPT Presentation

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

Consu nsumer er a and C Compet etit ition ion c challe lleng nges es in in in investing for for r retir irement Th The Cas Case o

• f AR

ARFs

Jim Murray, Chairman, Pensions Council

www.pensionscouncil.ie

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

€1. 1.85bn bn i invested d in ARFs a s and BO d BOBs i Bs in 2015 15

Source: Insurance estimates

• 200,000

400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000 1,800,000 2,000,000 2011 2012 2013 2014 2015

€000

ARFs BOBs

www.pensionscouncil.ie

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2004 2005 2006 2007 2008 2009 2012 2013 2014

Broker

Source: Insurance Ireland Factfiles

Distribution of Insurer Pension Sales

www.pensionscouncil.ie

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

Source: Pensions Council Survey of ARF charges February 2016

0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 5.00% 5.50% 1 2 3 4 5 6 7 8 9 10 Highest Median Lowest

€75,000 ARF - Projected RIYs insurer's own charges at durations Yrs

www.pensionscouncil.ie

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

Source: Pensions Council Survey of ARF charges February 2016

• 0.50%

0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 1 2 3 4 5 6 7 8 9 10

Highest Median Lowest

€150,000 ARF - Projected RIYs insurer's own charges at durations Yrs

www.pensionscouncil.ie

IAPF Benefits Conference: 6 October 2016 www.iapf.ie

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1 2 3 4 5 6 7 8 9 10

Insurer Intermediary

€150,000 ARF - Split of projected annual total RIYs at durations Yrs

www.pensionscouncil.ie