In Finland, MP Martin Paasi from the National Coalition Party has proposed a plan that suggests a public investment of 6,000 euros for every newborn. This initiative is aimed at strengthening the pension system by utilizing a long-term investment horizon, which, according to Paasi, has the potential for higher returns through riskier assets such as stocks. He argues that historically, these investments have proven to be the most profitable over extended periods, particularly within pension systems that have time to allow investments to mature.

Paasi illustrates the potential of this investment model by citing an average annual return of 7%, which mirrors the historical performance of the U.S. stock markets over the last 220 years. If this rate is achieved, the initial investment of 6,000 euros could grow to approximately 558,000 euros by the time the recipients reach retirement age. This figure significantly exceeds the current average pension wealth in Finland, showcasing the potential impact of early long-term investments on future financial security for young citizens.

The proposal comes as Finland prepares for pension reforms scheduled for 2025, during which riskier investment strategies are set to be enhanced. Paasi's suggestions highlight ongoing discussions in Finland about innovative ways to bolster the pension system, particularly in light of demographic changes and economic pressures that may affect future retirees.