Equitas offers subsidized retirement accounts
Friday, March 3, 2006, 18:13
Equitas Broker Rt, a brokerage which does most of its business online, announced on Friday it has started offering individual retirement savings accounts, also known by their Hungarian acronym NYESZ. Legislation establishing the accounts, which are subsidized by the state, came into effect at the start of 2006. The state will match 30% of annual contributions into the accounts up to Ft 100,000. Unlike other forms of state-subsidized pension savings schemes, savings in NYESZ accounts may be put in a number of different kinds of investments, including shares. Equitas Broker will charge a Ft 2,000 handling fee for the accounts, and transactions after the first one will cost Ft 150 apiece.
Equitas Broker has about 6,500 clients and is one of Hungary's top ten brokerages in terms of turnover. Last year, it brokered deals worth Ft 500 billion, of which Ft 270 billion came from the prompt market and the rest from the futures market.