The Ministry of Inclusion, Social Security and Migration has finally admitted BBVA and Caser as managers of the new public savings instrument, the open employment public pension fund promoted by the government and managed by private entities. After offering the justification of the low fees requested by the Promoting and Monitoring Commission, they are joining VidaCaixa, valued for its improvements, Santander, and Ibercaja.
Nationale-Nederlanden and Mapfre have finally been left out of managing these new funds.
Caser argues the price of its plans – 0.1%, the lowest offered among all candidates – based on three points: a technological platform that reduces the daily burden of asset supervision and management, indexed investments and automated management or communication with the client through instant messaging platforms. The commission has given the green light to the offer that places Caser with 63.9 points. The chosen offer was the one presented by Indexa.
In the case of BBVA, they explain that the managed assets (7.4 billion euros in 345 employment plans, according to their data) and the number of participants they already manage, in addition to the assets expected with these funds, allows them to adjust the costs of administration and management to the desired margin of profit. Their commission will be 0.15%, the second lowest, virtually similar to the minimum set by the government (0.16%) based on the average commission of 0.2% offered by all entities.
The quality of the depositary entities, where the participants’ savings are deposited, has also been evaluated in the process. Cecabank, BNP, BBVA, and Caceis have passed the selection. In this regard, it is worth noting that Cecabank was the highest-rated depository among those who applied. And 3 of the 5 lots have been awarded to management companies that deposit with Cecabank. BNP Paribas has the most competitive cost (0.035%), while the others have offered commissions of 0.4%.
This news comes a day after the government publishes in the Official Gazette the regulations for simplified employment plans and the public promotion employment fund itself. In the latter case, the five chosen managers will have five lots with three types of funds: conservative, mixed, and risky, according to the investment criteria.
The government expects the new savings tool to accumulate a patrimony of 4,000 million in five years. Employment plans already total around 35,000 million, and individual plans more than 80,000 million.