Employee Capital Plans in 2024
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The net assets of the target date funds of Employee Capital Plans (ECP) at the end of 2024 amounted to PLN 30.3 billion, compared to PLN 21.8 billion at the end of 2023.
Employee Capital Plans (ECP) is a voluntary, long-term saving program in which contributions are collected jointly by employees, employers and the state1.
The funds collected in ECP are invested in investment funds, so-called target date funds2. Individuals starting to save in ECP are automatically assigned to a specific category of target date funds based on their date of birth. Each of the target date funds has its own investment policy, which changes over time due to the need to reduce the level of investment risk as fund participants age.
2 The year assigned to the name of a given fund (the fund’s target date) determines the year in which age 60 is reached by persons born in the year that is the middle of the age range for which a given target-date fund is appropriate. In accordance with Article 38, paragraph 2, of the Act of 4 October 2018 on Employee Equity Plans (Journal of Laws 2024, item 427, as amended), target-date funds should also be understood as target-date sub-funds separated within an investment fund.
