The “Zukunftsvorsorge” serves several purposes:
- It provides an incentive for individual retirement planning. By setting a high proportion of stocks, it reflects decades of experience showing that, over the long term, stock investments are the most profitable.
- It strengthens the Austrian capital market. The high proportion of investments in Austrian stocks ensures a steady inflow of capital. Given the long investment horizon of the Future Provision program, this creates a significant cumulative effect.
- It enhances the growth potential of the Austrian economy. Companies that have improved access to equity capital through the stock market are better able to meet market challenges.
