The Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan has adopted rules allowing private investment portfolio managers to offer up to three pension portfolios tailored to savers’ age and risk appetite, replacing a single portfolio for all clients. The changes follow the Sept. 7, 2026, increase in the share of pension savings transferable to private managers from 50% to 100%. They also align with the agency’s draft 2030 capital market program, which envisages private domestic management of 20%-30% of pension assets. Conservative portfolios will focus mainly on bonds, remain available to all ages and undergo annual performance assessment. Moderate portfolios will combine shares and bonds, require more than three years until retirement and be assessed over three years. Higher risk portfolios will focus mainly on equities, require more than 13 years until retirement and be assessed over five years. Foreign currency investments will be capped at 40%, 70% and 80%, respectively. Each portfolio will have a composite benchmark drawing on Kazakh and global equity and bond markets. Minimum returns will equal 90%, 85% and 80% of the respective benchmarks’ returns, with managers required to cover any shortfall from their own capital. Savers may divide their savings among managers or portfolios, but switching between portfolios within the same manager will be limited to once a year. The Unified Accumulative Pension Fund will transfer savings to a suitable portfolio with the same manager when a saver no longer meets the age conditions. If none is available, it will provide advance notice so the saver can choose another manager or return to National Bank management. Each portfolio’s assets must be held in separate custodian bank accounts. Managers may close a portfolio only after its assessment period, with one year’s advance notice, after covering any minimum return shortfall and provided they retain at least one portfolio.
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan adopts rules allowing up to three pension portfolios based on age and risk
Kazakhstan’s Agency for Regulation and Development of the Financial Market has adopted rules allowing private managers to offer up to three pension portfolios based on age and risk appetite. Conservative portfolios are open to all ages, while moderate and higher risk options require more than three and 13 years until retirement, respectively. Managers must cover any shortfall against minimum returns set at 90%, 85% and 80% of the respective portfolio benchmarks’ returns.