THE EFFECT OF THE PRIVATE PENSION SYSTEM AND MUTUAL FUNDS

Abstract

In 27 October 2003, the concept of "Private Pension System" has emerged as a part of structural reform in order to support and improve the social security system in our country. When the Private Pension System in our country compared to the other OECD countries, it can be seen that in our country encourage entering the system comes first and regarding this, aiming high increases in funds. The System is believed to accumulate funds equivalent to 5% to 10% of GDP by the end of 10th year. The purpose of this paper is to describe the structure and main parts of the Private Pension System, whilst emphasizing the statistics of the values, the development of the system and also the good effects of the system on "asset funds".