+300 million euros from investments for 2025
The Kosovo Pension Savings Trust (KPST) recorded a gross investment return of €312 million for 2025 as of December 24, 2025. Given that the gross investment return for 2024 was approximately €244 million, KPST has generated a combined gross investment return of around €556 million over the past two years.
This marks the 21st year out of KPST’s 24 years of operation in which the institution has achieved a positive annual investment return. Cumulatively, since its establishment and up to this reporting date, the gross accumulated return has reached approximately €1.3 billion.
The collection of new contributions in 2025, currently totaling €354 million, represents a solid increase both in nominal terms (+€36 million) and in percentage terms (+12%) compared to the previous year.
Photo from the conference: Mr. Emanuel Bajra, Chairman of the Governing Board (left) and Mr. Adrian Zalli, Managing Director.
Table 1: Gross Investment Returns for 2024 and as of December 24, 2025
| Portfolio | 2025 | 2024 |
| Standard | €269,647,506 | €224,022,743 |
| Balanced | 36,525,971 | €14,384,338 |
| Conservative | 6,049,547 | €5,283,189.91 |
| Total | €312,223,024 | €243,690,271 |
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As a reference, as of March 31, 2024, KPST operates with three investment portfolios: (1) Standard Portfolio – for contributors up to the age of 57; |
By adding new contributions and gross investment returns during the year, and deducting pension payments as well as investment and operating expenses, the net value of assets under management increased by approximately €569 million in 2025. This represents by far the fastest annual increase in assets under management in KPST’s history.
STANDARD PORTFOLIO (Since February 16, 2022, dedicated to contributors aged 15–57)
The Standard Portfolio achieved a year-to-date return of +9.14% in 2025 (2024: +8.77%). The long-term objective of this portfolio is to outperform the consumer price index (inflation) in Kosovo over a 10-year period.
Since inception, the unit price of the Standard Portfolio has increased by approximately 99%, while inflation in Kosovo has risen by around 80%, meaning the portfolio has significantly outperformed inflation.
This strong performance reflects both favorable developments in global financial markets—driven by the easing of monetary policy and rising corporate earnings—as well as KPST’s tactical asset allocation, particularly its exposure to high-growth sectors such as information technology, including artificial intelligence.
However, KPST exercised discipline toward year-end moving to moderate its capital deployment into equities. Looking ahead to 2026, the Fund maintains a vigilant outlook; the exceptional growth trajectory seen in 2025 may face headwinds as global markets digest high valuations and contend with “sticky” inflation rates that remain above central bank targets.
We anticipate 2026 to be a year characterized by market volatility, and while the structural case for our investments remains strong, returns are expected to normalize compared to the high performance of the past two years.
BALANCED PORTFOLIO (Since April 1, 2024, for contributors aged 58–62)
In 2025, the Balanced Portfolio recorded a unit price increase of +8.97%, compared to a +4.05% increase during the final nine months of 2024.
This portfolio is designed to serve as a transition between the Standard and Conservative portfolios, emphasizing greater stability in savings and more moderate volatility and returns. Despite this conservative orientation, the Balanced Portfolio has demonstrated very satisfactory performance since its inception.
CONSERVATIVE PORTFOLIO (Since February 16, 2022, for contributors aged 63 and above)
Participants in the Conservative Portfolio experienced a return of +3.43% in 2025 (2024: +3.60%).
Given the age profile of its participants, the primary objective of this portfolio is to protect savings from market volatility, as recovery time following potential market downturns is limited. Consequently, investments are concentrated in Kosovo government bonds and money market instruments.
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Overall, all three KPST investment portfolios have demonstrated encouraging performance over the past two years, both during periods of market decline and subsequent recoveries. This resilience was particularly evident during the significant market fluctuations in the first quarter of 2025. KPST will continue to adhere to its long-term investment strategy, as defined in the Statement of Investment Principles, while also undertaking tactical adjustments to adapt to the global investment environment, where approximately 83% of assets under management are currently invested. |
Table 2: Summary of key indicators at end of 2024 and as of December 24, 2025*
| INDICATOR | 2025 | 2024 |
| Gross annual investment return | +€312 million | +€247 million |
| Cumulative gross return since inception | +€1.3 billion | +€997 million |
| Net assets under management | €3,751 million | €3,182 million |
| Unit price – Standard Portfolio | €1.9899 | €1.8233 |
| Unit Price – Balanced Portfolio | €1.1338 | €1.0405 |
| Unit price – Conservative Portfolio | €2.2823 | €2.2065 |
| Contributions collected during the year | €354 million | €316 million |
| Pension payments during the year ** | €80 million | €68 million |
| Retired during the year ** | 8,529 | 7,905 |
| Participants’ accounts at the year end | 983,072 | 874,194 |
| Active account during the year | 472,581 | 452,366 |
| Investments in global markets | €3,129,784,625 | €2,581,686,781 |
| Assets in Kosovo government bonds | €395,603,454 | €437,123,045 |
| Banking deposits in Kosovo | €231,122,193 | €164,228,724 |
| Investment fee | 0.30% | 0.31% |
| Operations fee | 0.047% | 0.048% |
* Figures for 2025 are not final.
** Includes only pension payments made during the year (both number and value), excluding arrears.