LifeClass Terme Sveti Martin is the first Run friendly hotel in Croatia, but also in Europe.The initiative to raise the quality of service for millions of runners around the world came from Berislav Sokač and his team from the Run Croatia project. The goal of the project is to organize races of a high standard, but also to sell experiences, ie to promote the Croatian tourist offer – apart from the sun and the sea.As over 50 million people regularly run in the EU, and their annual consumption is estimated at 9.6 billion euros, it is quite logical to focus on runners, especially in the pre- and post-season. This initiative was first recognized by those who know very well that today’s tourist should be offered much more than what was offered in previous years – those from northern Croatia, who are already the main generator of continental tourism in Croatia – LifeClass Terme Sveti Martin.”The introduction of the Run friendly concept in our business is a continuation of our desire to brand the resort in the direction of a Healthness resort that encourages a healthier lifestyle in its guests through physical activities, local food and mind cultivation. After being the first in Croatia to earn the Bike hotel certificate, we are extremely glad to be the first hotel in the world with a Run friendly certificate, providing passionate runners, but also beginners, all Run firendly services throughout the year. We are looking forward to every kilometer that is run in Međimurje.”Pointed out the General Manager of Terme, Branimir Blajić, who is also a passionate athlete and the initiator of many sporting events in the area. Among the sales packages, you will also find the RUN package, which in this Healthness resort is completely adapted to all the needs of runners. Includes high quality t-shirt, running map, various running tours – from beginner to advanced program, healthy offer of drinks and food in the mini bar, energy bars, late checkout, a special massage program and no less important, the perfection of untouched nature, ideal for an active stay outdoors.” The goal of the project is to provide a platform for runners as an added value to hotels through labeling, and our vision is for Croatia to be the first country in the world to have a platform for a run friendly package ” Berislav Sokač from Run Croatia points out and adds that they have made a book of standards and know-how for the certification of hotels as Run Friendly and that we have the opportunity to set a new standard on the tourist map of the world.But the Run Croatia concept is a much broader story, which includes the whole Run Friendly Eco System with various partners, from clinics, restaurants, banks, etc.… Read the wider story of the entire Run Friendly concept below in the attachment.Related news: BERISLAV SOKAČ, RUN CROATIA: I want to bring a part of 50 million runners in Europe to Croatia
By Tuleva’s reckoning, the management company, once established, will be sustainable once 3,000 members join and transfer their existing second pillar savings.The mandatory second pillar currently has close to 685,870 member and €2.7bn of assets.As of 23 August the association was half way past its target, with €1.53m of capital collected since the end of April, and a membership of 1,700 acquired entirely by social media and word-of-mouth.Members pay an up-front fee of €100 and pledge to bring in their second-pillar savings.The first 3,000 members can also make an additional voluntary contribution of between €1,000 and €10,000 to the start-up capital, fully returnable if the fund management company is not established by the end of next July, in return for a higher profit share.According to Pekk, a former chief executive of GA Fund Management who has also worked for PwC and the European Bank for Reconstruction and Development, 0.05% of the Tuleva’s AUM will be distributed among the members according to the size of their pension account in Tuleva funds, while the rest of the profit – both from the business as well as investment income of the start-up capital – will be distributed among all members according to their contribution to start-up capital.In addition to the novel ownership structure, Tuleva intends to charge lower management fees, a contentious issue in the Estonian pensions market. According to Pekk, management fees currently average 1.26%, while the total expenses ratio is some 1.5-2%.Tuleva will initially charge a management fee of 0.5%, reducing this when the membership increases.It intends to achieve the lower costs through a fully passive investment strategy – 75% invested in the MSCI All Country World Index and 25% in the Barclay Capital Global Aggregate Index – using mostly BlackRock as its provider.Pekk told IPE that Tuleva hopes to have the necessary documentation ready by September and the finances in place by the end of October, with the pension fund launching next year pending regulatory approval.Estonia’s finance ministry, meanwhile, which itself called for greater competition and fee transparency, is incorporating two of Tuleva’s proposals into forthcoming amendments to financial legislation.The current exit fee for pension fund members switching providers is to fall from 1% of assets to 0.1%, while the minimum share capital will be cut to €1m.Tuleva is not alone in turning to passive investment to cut fees.This week LHV announced that it plans to launch two new passive index funds – a second-pillar fund 75% invested in equities, and a third pillar one fully invested in equities – each of which will charge a management fee of 0.39%.LHV plans to receive the regulatory go-ahead for its new offerings later this year. Estonia’s shrinking pension fund landscape may soon have a new player, operating on a profit-sharing cooperative model.Tuleva, started up by 22 prominent Estonian financial and business individuals, has been established as a commercial organisation, a collective of members with similar interests, with each member holding one vote, in contrast to the four existing bank-owned market players.“The market for the second pillar fund system is uncompetitive, and returns since its launch in 2002 have been poor,” Tuleva board member Tõnu Pekk told IPE.The association is building up capital to set up a second-pillar pension fund management company, which under current Estonian law needs a minimum capital of €3m, as well as funds to finance costs such as regulatory, legal and depositary expenses.