Spanish gov't to select its public pension manager and depository
As part of the reform of its pension system, the Spanish government announced on 28 October that it would select asset management and depository companies via requests for proposals for its future defined-benefit public pension fund, Europa Press reported. The type of management strategies chosen and the selection criteria of the management company(ies) have not yet been announced. The selection process must be completed within 12 months after the submission to Parliament of the 2021 budget law, which includes bits of the pension reform.
This reform is meant to give free-lancers and SME employees access to a supplemental retirement, which, for the moment, is offered only at large companies and certain sectors that have powerful trade-unions. To promote collective vehicles, the government is also planning to reduce the current tax allowance on payments into individual retirement accounts from €8,000 to €2,000.