What are the guarantees for the security of the funds invested in pension plans?

Legislation requires that pension fund members’ cash and other assets be kept off the bank’s balance sheet by both the pension fund (AS CBL Atklātais pensiju fonds), the asset manager (IPAS CBL Asset Management), and the asset custodian (AS Citadele Banka).
3rd pension pillar capital saved in an individual account cannot become the property of the asset manager, asset custodian, or an employer.

The Private Pension Fund Law sets out the financial instruments and the percentages of where and to what extent money can be invested, diversifying all types of risk as much as possible.

Pension fund members’ funds are also supervised by the Bank of Latvia and international auditors.