Corporate pension funds in Ukraine: features of formation and development prospects

The purpose of this article is to analyse and evaluate current trends in the development of corporate non-state pension funds, which over the last decade have become the main institutional element of the long-term savings system. Under the influence of demographic changes, increased labour mobility and reforms of state PAYG systems, corporate pension funds have become the main form of accumulative pension provision in many countries around the world. In global practice, they dominate in terms of asset volume and participant coverage in countries such as the Netherlands, the United States, the United Kingdom, Canada, and Australia. The main trend in the current development of corporate funds is the transition from defined benefit (DB) schemes to defined contribution (DC) schemes. This transformation is driven by the need to reduce financial risks for employers, increased life expectancy, and a shift in the philosophy of pension responsibility – from a guaranteed income model to a personal investment model. Under a DC scheme, employees enjoy greater transparency, mobility and individual control over their pension assets. Corporate pension funds are increasingly integrating modern digital asset management technologies. The use of automated investment strategies, digital identification, algorithmic risk monitoring and personalised pension planning platforms creates a new quality of interaction between the fund, the employer and the participant. This increases efficiency, reduces administrative costs and allows for the implementation of flexible pension solutions. In a broader context, such processes form the basis of a long-term savings model, in which the institutional stability of a corporate fund is combined with technological innovation, management transparency and personalised investment tools. The transformation of corporate pension systems, particularly in countries with high coverage, creates a powerful segment of institutional investors that plays a critical role in the development of financial markets and economic stability. These processes are extremely important for Ukraine. Given the low level of development of open pension funds, limited institutional investment, and low public confidence in financial institutions, it is the corporate sector that could become the starting point for a national accumulation system. One of the most realistic and quickest ways to launch it is to create corporate, non-state pension funds in large state-owned companies and infrastructure operators: Naftogaz of Ukraine, Ukrenergo, state-owned banks, Ukrposhta, Ukrzaliznytsia, etc. Such corporations have significant personnel structures, stable financial flows and an adequate level of state control, which ensures scalability, transparency and trust at the initial stage of reform. In addition, corporate pension programmes in the public sector can become the basis for the formation of long-term investment capital necessary for the restoration and modernisation of the Ukrainian economy after the war.