The total assets values of the Irish pension fund sector exceeded pre-pandemic levels in the fourth quarter of 2020, rising 5.5 per cent to €124.9 billion.

The increase was driven by investment fund shares, pension fund reserves and currency and deposits, the Central Bank data showed.

The data revealed investment fund shares held by pension funds grew by 5.3 per cent over the three-month period, to reach €46.4 billion, or 37.2 per cent of total assets. Non-money market fund shares were 6 per cent higher to €44.6 billion, with equity funds accounting for €16.1 billion and bond funds at €13.8 billion. Money market fund shares fell 8.6 per cent to €1.8 billion.

By the end of the final quarter of 2020, pension fund holdings of debt securities were 13 per cent of total assets, or €16.2 billion. This was predominantly made up of issuances from euro area countries outside Ireland, which accounted for €11.2 billion.