Irish pension funds have put in their best performance since 1997 last year according to the Irish Association of Pension Funds (IAPF).
The IAPF's annual survey found that Irish pension funds grew 25% to €77.9 billion in 2005.
However, Joe Byrne, Chairman, IAPF warned that despite the impressive growth, many defined benefit funds will not have improved their solvency position when measured against the minimum funding standard as set down by the Pensions Board which is now under review.
He said this was due to historically low long term interest rates and improving mortality assumptions which are 'dramatically' increasing the cost which the funding standard places on scheme liabilities.
The survey showed that Irish pension funds had year end assets under management of €77.9bn compared with €62.3bn at end 2004.
