In 2008 only 29% of Romanians saved money in order to guarantee themselves secure financial support for the future.
In 2008 only 29% of Romanians saved money in order to guarantee themselves secure financial support for the future.
This is the finding of the survey conducted by Henley Centre Headlight Vision for Aviva plc in 2008. The international economic context has occupied the thoughts of most Romanians, but few of them have taken action accordingly. Those with the greatest foresight are the residents of Bucharest and Dobrogea, with 38% and 35% respectively stating that they have saved money for unforeseen circumstances, but the list of regions which do not save money is topped by the residents of Moldova – 75% have not saved money and do not plan to change their behaviour in the near future either.
Of the few Romanians who had put money aside, only 7% managed to save a maximum of €100 per year. At the same time, only 5% of respondents stated that they had managed to put aside over €1,500 per year, over 10% of these being Bucharest residents.
Amongst the main factors which prevent Romanians from saving money are the fact that they can not afford to do so (64%), the large levels of credit which they have currently (18%), lack of confidence in financial products (13%), the risk of losing money invested (12%) or the fact that they much prefer to spend money than to save it in any useful way (7%).
With regard to the future, young people aged between 25 and 34 remain the most optimistic, with 35% of them considering that the situation will change for the better and that they will have the opportunity to put money aside for unforeseen circumstances.
“In a survey previously carried out by Aviva, the fact that stood out was that Romanians would have saved more if they had anticipated the crisis. Thus, regardless of the international economic context or time of the year, people have constantly sought to protect themselves against unfavourable factors, whether these are financial – inflation or those associated with unforeseen circumstances – unemployment, loss of the ability to work or other unforeseen circumstances. Most people know what they should do, but there are very few who act accordingly and this is because in Romania most people still do not have a sound grasp of financial matters.
Those in the best position are those who are able to benefit from the opportunities created by such periods and to use them to their personal advantage – investing small amounts in unit-linked insurance products which, in the current climate, are low in price, and thus profiting from unit growth in the coming periods,” states Shah Rouf, CEO of Aviva Romania.
“We know from our own experience that people do not plan to fail, but fail to plan. But right now Aviva can support them by maximising the opportunities created by the lowest fund unit prices in recent years,” Shah Rouf added.
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The point of contact for further information:
Lavinia Pavel – Brand Communication Coordinator
Telephone: 0723 310 378
E-mail: lavinia.pavel@aviva.ro
Notes for editors:
None of the findings of the Aviva survey may be reproduced without acknowledging the source: Aviva Life Insurance.
The Consumer Attitudes to Savings survey was undertaken in 2004 in 11 countries, in 2005 in 16 countries, in 21 countries in 2006 and in 2008 in 25 countries. Starting in 2006, Romania was included in the survey. The countries in which the research was carried out in 2008 are: Romania, France, Ireland, Lithuania, Spain, Hungary, the Czech Republic, Italy, Poland, Russia, Turkey.
About the Aviva group
Aviva is the oldest insurance group in the world and the largest in Great Britain, dating back to 1696. Today, Aviva has 57,000 employees and 45 million customers in 27 countries across the world.
The group is the market leader for life insurance and pensions in Europe, leading on the majority of the markets in which it operates.
Aviva has revenue from insurance premiums* and investments totalling €49.2 billion and manages over £359 billion worth of funds**, putting Aviva in fifth place in the top flight of international insurance companies.
Aviva Romania
Aviva Romania includes three companies: Aviva Life Insurance, Aviva Management Company for a Private Pension Fund, Aviva Investors Romania (purchased on 13 September 2007).
About Aviva Life Insurance and Aviva Management Company for a Private Pension Fund
Aviva began operating as a provider of life insurance in Romania in 2000, currently holding a portfolio of over 1,100,000 customers. On 26 July 2007, Aviva received approval from the Oversight Committee for the System of Private Pensions to set up a company to administer private pensions (Aviva Management Company for a Private Pension Fund SA), and on 25 August 2007 received authorisation to administer its mandatory pension fund – Pensia Viva.
About Aviva Investors Romania
Aviva Investors Romania currently administers €15 million in four mutual funds, each based around a different type of investment: Aviva Investors (AI) Intercapital (a shares fund), AI Capital Plus (a diversified fund), AI Orizont (a fixed-income – bonds – fund) and AI Tezaur (a monetary fund). Aviva Investors Romania also administers individual investment accounts.
Aviva Investors Romania has shown throughout the years that it is one of the most dynamic and innovative administrators in the market. The company launched the first commission-free sales fund on the Romanian market (AI Tezaur) and the first bonds fund in Romania (AI Orizont). Aviva Investors Romania is also proud to support the growing investment funds market in Romania.
* according to data of 31 December 2007
** according to data recorded on 20 June 2007