VOLUNTARY PENSION FUNDS IN CROATIA: INVESTMENT PERFORMANCE AND INCENTIVES

Saving for the third age is extremely important in conditions of an uncertainty global economy, unfavorable demographic trends and related problem fiscal imbalances. In order to improve sustainability Croatian three-pillar pension system, there have been recent attempts significantly increase role voluntary insurance other forms saving age. The aim such measures reduce increasing dependence beneficiaries on payments from state budget achieve a more sustainable system. Measures encourage Croatia are incentives insured tax benefits employers. Despite numerous investment advantages government this form saving, funds still among least developed institutional investors, considering amount assets number members. question arises as reasons relative disregard these financial institutions low interest working population Croatia. paper analyze performance identify insufficient capitalised savings pillar Keywords: funds, literacy, governement