The Institutional Provision of the Compulsory Retirement Insurance System

Abstract

One of the key tasks of pension reform at the current stage of the development of society is the introduction of a system of compulsory accumulative retirement insurance. The article is aimed at examining the main institutions that should operate in the system of compulsory accumulative retirement insurance in accordance with the current domestic pension legislation; defining the specifics of their interaction to improve the efficiency of the second level of the national pension system. The article considers the issues of financial support of Ukrainian pensioners, analyzes the dynamics of the average size of pensions in Ukraine and the number of pensioners during the study period. It is determined that the pension income of Ukrainian pensioners is much lower than in European countries and does not meet the relevant international social standards. The main institutions of the system of compulsory accumulative retirement insurance, which should function at the second level of the domestic pension system, have been defined. Their characterization was carried out in accordance with the current pension legislation. Particular attention is paid to the Accumulative pension fund, which acts as the main financial institution of the system of compulsory accumulative retirement insurance. It is noted that the administration of pension assets of the compulsory accumulative retirement insurance, in addition to the Accumulative pension fund, can be carried out by the non-State pension funds and insurance companies, which have to obtain appropriate licenses.

Keywords

• financial institutions
• accumulative retirement insurance
• accumulative pension fund
• asset management companies
• custodian of assets
• non-state pension funds