IRELAND - Irish pension managed funds have seen a positive return of 2.4% for the month of August, according to Hewitt Associates.
Hewitt said while the relief iwas only small and barely recovered the losses of the previous month, it did stem the losses to some degree.
It reported year to date index returns were now -15.1%, with the 12 month return -18.5% to the end of August.
Hewitt Associates director of investment consulting Deborah Reidy said: "On a positive note, the 10 year return is once again above inflation. The index shows a 10 year return of 4.6% per annum, whereas inflation for the same period was 3.8% per annum."
Reidy explained this was largely due to the fact that the 1998 long term capital management crisis had now dropped out of the ten year window.
The consultant said the upturn had been led by positive returns from the major equity markets. North America was one of the strongest markets delivering over 7% this month, helped to some degree by the strengthening of the dollar over the month.
However, Reidy warned the outlook for equity markets was still uncertain.
She said: "Pension fund investors can expect volatility to remain in the short term but we would urge investors to consider the investment returns in light of the longer term returns as pension investments are typically 15 years and longer.
"Investors should be aware that Managed Fund Index shows that over 15 years, pension returns were more in line with longer term expectations at 7.5% per annum."
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