Oh, I forgot yesterday, maybe it wasn’t yet clear in my mind and I needed some more dig and headscraping on laws and funds to have it more vivid. Our government is trying to protect Italians from harming themselves by not subscribing an integrative pension fund. This is for sure a laudable intention – I warn you, if you want to survive the 3rd age, you have to put aside some money.
The problem is that this strongly contrast with the current fund schemes that offer several lines of investment with different aggressiveness and features. In other words the money that the government forces you to put aside to grant a wealthy old age are allowed to go into the slot machine of the financial trades and you could end with empty hands even emptier than if you had put money in the mattress. The law requires only the most conservative line to grant the sum you put into (that is 0% interest, you are nonetheless wasting money in taxes and losing power of purchasing because of the inflation). The law set the TFR interest rate as a goal, not as a requirement for the most conservative line. Nothing happens if the goal is not reached.
Even worse the law allows to chose more aggressive investment that could bring higher positive rates or dragging you into losing money, maybe helping fund managers interests but going against the noble goal to avoid social problems when the current working class will reach the retirement age.
There is an underlying problem of trust, lacking of trust. If the government wants Italians to trust this new pension form, then the new form must grant everything the old one granted. The law must grant at least the same rate and at least the chance to get all the money at retirement.
After all if everyone is so staunch about the TFR performing worse than the financial fund why don’t they grant the fund to perform at least as bad as the TFR?