Generational capital to secure pensions should flow primarily into stocks

Enlarge image

Kenfo boss Anja Mikus: “Almost no bonds”

Photo: Jörg Carstensen/dpa

The so-called generational capital planned by the federal government to secure statutory pensions is to be largely invested in stocks. “Due to the return requirements, the share share should go towards 80 percent,” said the CEO of the responsible Kenfo Foundation, Anja Mikus, to “Welt am Sonntag”. The portfolio will have “almost no bonds.”

Mikus rejected the accusation of gambling on the stock market with the statutory pension. »We don't gamble. “I can reassure everyone,” she said. It's not about investing money in the short term and selling the securities again quickly. The entrusted funds would be invested in a long-term and diversified manner around the world.

"The German state is finally starting to use the capital markets more for itself and its citizens' retirement provision," said Mikus. Other countries have been doing this successfully for decades. They conservatively expect an annual return of an average of six percent, from which interest costs of three percent for the federal government's debt would have to be deducted.

»Return-oriented sustainability strategy«

Mikus announced a “return-oriented sustainability strategy” for generation capital with a focus on the environment, social issues and good corporate governance. "And not to look good to the outside world, but because investments in companies that are constantly improving in these three areas bring higher returns in the long term," said the head of the foundation. Mikus left it open to what extent investments in individual sectors would be excluded.

The federal government's draft pension package II stipulates, among other things, that the federal government will pay at least twelve billion euros into the new sovereign wealth fund over the next few years. The income will then be used to prevent an even greater increase in pension contributions from 2036. However, the law has not yet been passed by the Bundestag and Bundesrat. “I hope we can do that by the summer break,” said Mikus.

The foundation chairwoman does not expect politics to have too much influence on investment decisions. "The broad will of the responsible ministries and political representatives is that we are not hindered by political influence when investing and can invest flexibly," she said.

In their view, the current 50-strong team, which has been managing the Kenfo nuclear fund since 2017, is largely sufficient to manage generational capital. “With the generational capital, only five to seven employees should be added,” said Mikus.

kig/AFP