The card can be used only in the Republic of Croatia, the card is contactless, without PIN authorization for transactions up to HRK 250, there is no account management fee, and the one-time card issuance fee is HRK 50 while the card is valid for 4 years – according to HPB- And. Photo: HPB Photo: HPB / Cover photo: Pixabay, Illustration: HrTurizam.hr We need to look at the project for a minimum of 3 years, so that we can measure its success. Of course with a constant campaign, development and integration into the wider project of our tourism, not just putting it on the market and that’s it. Like any project. And today, after a lot of prolongation, we finally have the first official Cro card – HPB CRO Visa debit card. As we know, Hrvatska poštanska banka is among the first banks to sign an Agreement with the Ministry of Tourism on the implementation of measures to encourage consumption in the hospitality and tourism industry in the Republic of Croatia through the Croatian Tourist Card. The card is intended for payment of accommodation and services in tourism and catering in Croatia, rental of water transport vehicles and services of travel agencies and travel organizers One was also introduced news – funds on the card, ie transaction account can be paid by the employer or any third party, as well as the cardholder himself, by non-cash transfer of funds. Namely, as part of the Cro card, a special website should have been published earlier, on which there will be a list of various discounts that Cro card users can get. Therefore, it gives an additional motive that you are the owner of the card, ie a natural person, pay the funds yourself in order to take advantage of the discounts. All employers, craftsmen or self-employed persons can opt for the CRO Visa card and pay a fee of up to HRK 2.500 per year to their employees intended to cover the costs of catering and tourist services anywhere in Croatia. Customers whose employers decide to pay holiday pay via CRO Visa card can request the opening of a special purpose transaction account and the issuance of a card in any HPB branch – the bank points out. Of course, the whole project will not show any success this year, only if the public sector withdraws a larger contingent of cards (which was, among other things, the formula for success in Hungary) because the private sector in the current situation is struggling to survive and maintain jobs. number to be able to pay workers the amount on the Cro card.
“It is an advantage of the system that pension funds can have a high equity quota of around 30% on average, even if their risk tolerance is limited by a lowered funding level,” said Jürgen Rothmund, author of the report. “Swiss Pensionskassen profited from this significantly in the first quarter of this year.”However, he advised pension funds and the public “not to be blinded by the vast improvement in the funding level in the first quarter” as underlying systemic problems remained.The analysed funds continued to lower their exposure to bonds to increase investments in real estate, equities and alternatives.According to Rothmund, it was mainly the “newer forms of alternatives” that were gaining new investors: in particular infrastructure, private debt and insurance-linked securities.Traditional alternative categories – hedge funds, private equity and commodities – were “relatively stable regarding the investment volume”, he added.Pension funds were “not only adding alternative investments for higher returns but also for diversification purposes”, Rothmund said.In total, the Complementa analysis showed that the current average investment mix could yield around 2.3% annually over the next few years.“This should be just enough to finance the target return over the next years,” Rothmund said – but only if adjustments continued to be made on the passive side.Conversion ratesMore and more Swiss Pensionskassen with contribution rates above the mandatory level have been cutting the conversion rate to well below the current 6.8% legal threshold for the mandatory part of pension payouts.Rothmund said: “To finance the current conversion rate Swiss pension funds would need to take more investment risks and that would not be sensible.”However, he added that many Pensionskassen had “already taken steps” to lower the Umwandlungssatz (UWS), the conversion rate used to calculate pension payouts from accrued assets upon retirement.Complementa found that the “speed at which the UWS was lowered was higher than expected” in the previous year.According to experts, 4.86% would be the actuarially correct conversion rate given the current market and demographic environments.In the sample analysed by Complementa, the conversion rate was set to fall to 5.28% in stages by 2024.“To compensate for the lower conversion rate for the younger generation, they either will have to start saving earlier in the second pillar, pay higher contributions, or retire later,” Rothmund said.Overall, Complementa said it had a “positive outlook” for the second pillar. Rothmund stated: “Cross-financing from active members’ assets to retirees will continue for a few more years but the adjustments have already been put in place.” The equity market downturn in the last quarter of 2018 left many Swiss pension funds with major dents to their funding levels.On average the funding ratio of Swiss schemes fell to 102.7%, from 108% at year-end 2017, according to sample calculations by consultancy Complementa.In its annual “risk check-up” analysis of the market, the company highlighted that returns in the first few months of 2019 “more than made up” for the previous quarter’s losses.A return of 6.5% between January and the end of April brought the average funding level back up to 108.5%.