Investment Funds Market
(Based on the data of Analizy Online)
At the end of December 2023, assets managed by domestic Investment Fund Companies (TFIs) amounted to PLN 320.4 billion (an increase by PLN 50.9 billion y/y), thus reaching the highest level in history. Assets of individuals increased to PLN 195 billion at the end of 2023, accounting for nearly 61% of all funds accumulated in TFIs. As at the end of the analysed period, the value of funds accumulated in the Employee Capital Plans (PPK) target date funds increased to PLN 21.8 billion (+82% y/y).
In 2023, the balance of payments and redemptions stood at PLN 22.1 billion (compared to PLN -23.7 billion in 2022). Individuals, for whom the total balance of payments and redemptions in 2023 amounted to PLN 23.7 billion (PLN – 24.5 billion in 2022), contributed the most to the high level of net inflows to the market. Debt funds (whose valuations were supported by falling bond yields in 2023) were particularly popular with households, with PLN 19.4 billion flowing into them. Equity funds, on the other hand, were far less popular among individuals, recording an outflow of nearly PLN 0.5 billion in 2023.
(Based on PFSA data)
In 2023, the assets of Open Pension Funds (OFEs) increased by 33% (+PLN 51.7 billion) to PLN 208 billion, driven to the greatest extent by a significant improvement in sentiment on the domestic equity market in the fourth quarter, but also by continued good economic conditions on global financial markets. Shares of companies listed on the domestic regulated market held a dominant position in the structure of OFE assets (approximately 82.1% of net assets at the end of 2023).
At the end of 2023, the number of OFE members stood at 14.6 million, down 2.3% (-338 thousand people) on the previous year.
(Calculations of PKO Bank Polski S.A, based on the last available PFSA data.)
In the period of three quarters of 2023, insurance companies earned a net profit of PLN 8 billion (+109.7% y/y), with a technical profit from insurance of 5.3 billion (+30.4% y/y). The financial performance of insurance companies was positively affected by the increase in the result on debt securities and other fixed-income securities and the decrease in the amount of claims paid (-8.3% y/y).
In the life insurance segment, gross written premiums increased by 7.25% y/y (to PLN 17 billion), with a 16.1% y/y decrease in claims paid (PLN 12.1 billion). Cost of insurance activities in the life insurance segment increased by 5.6% y/y (PLN 4.5 billion).
The other non-life insurance segment posted a y/y increase in gross premiums written of 10.4% (to PLN 40.7 billion), with a significant increase in the cost of claims paid to PLN 19.7 billion. Costs of insurance activities in the other personal and property insurance segment increased by 12.7% (to PLN 9.8 billion).
(based on Polish Leasing Association data)
In 2023, the leasing market financed assets worth a total of PLN 102.5 billion, which represents an increase by 16.3% compared to 2022. Vehicles (mainly passenger vehicles) accounted for the largest share of financed assets at 70.9%, followed by machinery and equipment (24.4%).
The share of green assets in leased vehicles increased to 6.0% at the end of the third quarter (compared to 4.1% a year ago).
(Based on the Polish Factors Association data)
In 2023, the turnover of member companies of the Polish Factors Association decreased by approximately 2.3% y/y, amounting to PLN 450 billion, while the number of businesses using the services of factoring companies was approximately 26.4 thousand (+6.1% y/y).
The largest demand on the part of enterprises was for factoring without recourse, whose share in sales of factoring firms was approx. 38%. Manufacturing and distribution companies, mainly from the food, metal and chemical industries, continued to be the entities that used factoring services the most often.