Dutch pension funds warn of lower pensions in coming years
6 years, 2 months ago

Dutch pension funds warn of lower pensions in coming years

NL Times  

Bad news for Dutch pensioners. If the funds can't get their so-called policy funding ratio above 104 percent in time, they will have to lower their pensions. Health care fund PFZW and civil service fund ABP have until end 2020 to get their policy funding ratio above 104 percent. ABP, the largest pension fund in the Netherlands, seemed to be on the road to ending 2018 at above 104 percent, but a very bad fourth quarter threw a spanner in the works. The construction sector's pension fund's policy funding ratio stands at above 118 percent.

Fund Funds Pme Pmt Lower Pensions 104 Percent Dutch Pension  lower  pensions  funding  coming  pmt  policy  dutch  pension  ratio  warn  104  stands  funds  fund

History of this topic

Engineering pension fund PME may drop BlackRock over strategy
2 months ago

Engineering pension fund PME may drop BlackRock over strategy

Dutch News  

Engineering pension fund PME, one of the largest in the Netherlands, is considering breaking ties with asset manager BlackRock after it pulled out of Net Zero Asset Managers, an organisation committed to reducing greenhouse gases in line with international agreements. “For years, under the leadership of their CEO Larry Fink, they invested aggressively in climate policy,” said Daan Spaargaren, who …

Pension funds in better shape after good year for investments
2 months, 3 weeks ago

Pension funds in better shape after good year for investments

NL Times  

Dutch pension funds are in better shape than a year ago, research agency Aon has determined. Pensioenfederatie, the organization representing 156 of the country's pension funds, calculated last month that pensions were increasing at roughly four out of five pension funds. The funds also want to retain sufficient buffers for their transition to the renewed pension system. Pensions will indeed …

Dutch civil service fund to boost pensions 1.84% next year
3 months, 3 weeks ago

Dutch civil service fund to boost pensions 1.84% next year

Dutch News  

Three of the five big Dutch pension funds are increasing payouts next year but by a much smaller percentage than inflation. ABP chairman Harmen van Wijnen said last week he was “half happy” with the increase but that this was all the fund could do given its financial position. Healthcare pension fund PFZW has said it is freezing pensions next …

Large pension funds barely increasing pensions next year; No more than 3%
1 year, 5 months ago

Large pension funds barely increasing pensions next year; No more than 3%

NL Times  

Millions of Netherlands residents can kiss hopes for a big pension increase goodbye. Civil servants’ fund ABP, the largest fund in the Netherlands with 3 million members, can increase pensions by a maximum of 3 percent next year. Healthcare fund PFZW’s increase will probably be much less, and bpfBOUW, the pension fund for the construction sector, may not increase pensions …

Dutch pension fund ABP insisting banks do more to tackle climate change
2 years, 2 months ago

Dutch pension fund ABP insisting banks do more to tackle climate change

NL Times  

Banks that claim they are including more green initiatives in their investment portfolios must also demonstrate their commitment, said the Dutch civil servants’ pension fund ABP. That means they need to look "very critically" at their investments in fossil fuels and “maybe move out.” In 2021, ABP decided to sell its investments in fossil fuel companies and projects worth 15 …

Large funds unable to increase pensions this year
3 years, 2 months ago

Large funds unable to increase pensions this year

NL Times  

The largest pension funds in the Netherlands would like to increase pensions but are not yet able to. "At a time when groceries are becoming increasingly expensive, and energy prices are rising rapidly, that is a hard observation," said Joanne Kellermann, chairman of the board of care fund PFZW. The policy funding ratio, the indicator on which funds decide whether …

Dutch pension funds cutting investments in Chinese firms over Uyghur mistreatment
3 years, 10 months ago

Dutch pension funds cutting investments in Chinese firms over Uyghur mistreatment

NL Times  

Four large Dutch pension funds have halted their investments in Chinese companies over their alleged repression of the Uyghur people, a Muslim minority group primarily in Western China. In recent weeks, Follow the Money said they have conducted extensive research into the investment policy of the 24 largest Dutch pension funds towards China. The responses they received indicated that the …

Record increase in pension premiums this year
4 years, 2 months ago

Record increase in pension premiums this year

NL Times  

This year pension funds are increasing their premiums more than ever before, with increases of 10 percent being no exception. 39 of the 44 industry-wide pension funds are increasing their premiums and/or cutting their pension accrual, according to FD. The pension funds blame the increased premiums and lower accrual on low interest rates and lower expected returns. Last year outgoing …

Pension cuts still looming, despite funds' improved position
4 years, 5 months ago

Pension cuts still looming, despite funds' improved position

NL Times  

While most of the Netherlands' large pension funds managed to improve their coverage ratio in the past quarter, millions of Netherlands residents may still face a cut to their pension next year, NOS reports. PFZW, the pension fund for care and welfare workers with over 2.9 million participants, currently has a coverage ratio of 88.5 percent. The other two largest …

Over 7 million NL residents could face pension cuts next year, large funds warn
4 years, 8 months ago

Over 7 million NL residents could face pension cuts next year, large funds warn

NL Times  

Over 7 million Netherlands residents have to take into account that their pension benefit may be lower next year. The three largest pension funds in the country have too little cash to meet the government's funding ratio requirement and have little hope of meeting that target by the end of the year, they said to NOS. In June, Minister Wouter …

Dutch pension funds lost €77 billion in first quarter
4 years, 11 months ago

Dutch pension funds lost €77 billion in first quarter

NL Times  

The coronavirus-triggered panic on the financial markets was a massive blow for the five large pension funds in the Netherlands. In the first quarter of 2020, they together lost over 8 percent of the total 910 billion euros in cash they had at the end of December, NOS reports. That is a total of 77 billion euros lost, resulting in …

Large pension funds slowly approaching goal of 100% coverage ratio
5 years, 2 months ago

Large pension funds slowly approaching goal of 100% coverage ratio

NL Times  

The financial position of the Netherlands' large pension funds improved somewhat in the last months of 2019, and all four large funds are now closer to reaching 100 percent coverage ration, according to the funds' annual figures, NOS reports. The funds were actually supposed to reach a 100 percent coverage ratio - for every euro in pension payment, they must …

Nine of ten biggest pension funds invest in military weaponry
5 years, 3 months ago

Nine of ten biggest pension funds invest in military weaponry

NL Times  

Nine of the ten largest Dutch pension funds invest in arms manufacturers who supply systems to countries that violate human rights, such as Saudi Arabia. In total these pension funds invest over a billion euros in 14 of these types of arms companies, NRC reports based on the Fair Pension Guide study by peace organization PAX. "The pension money of …

The world’s best pension system is being pushed to the brink
5 years, 4 months ago

The world’s best pension system is being pushed to the brink

CNN  

London CNN Business — Record low interest rates are forcing the world’s best pension system to take drastic action aimed at staving off cuts to payoutsthat were once unthinkable. It’s an extraordinary situation.” Shaktie Rambaran Mishre, Pensioenfederatie chair For global pension funds, low interest rates couldn’t havecome at a worse time. “It’s an extraordinary situation,” said Shaktie Rambaran Mishre, chair …

Pension cuts ahead, large funds warn
5 years, 11 months ago

Pension cuts ahead, large funds warn

NL Times  

Millions of Dutch retirees may soon face a reduction in their pensions, the large pension funds warn in their quarterly reports. To prevent pension cuts, funds must have their so-called policy funding ratio at the required level of over 104 percent. Of the large pension funds, construction sector fund BpfBOUW is the only one that is doing well. Its policy …

Dutch warned of pension cuts in 2017
9 years ago

Dutch warned of pension cuts in 2017

NL Times  

Some 7 million workers and pensioners may well see their pensions reduced next year. The financial situation of the large Dutch pension funds dropped to critical last month, according to figures released by Aon Hewitt on Tuesday, the Volkskrant reports. Of the large pension funds, only construction fund BPF Bouw is still holding on at a dangerous, if not critical …

Dutch pension to dump coal, oil investments to reduce CO2 emissions
9 years, 4 months ago

Dutch pension to dump coal, oil investments to reduce CO2 emissions

NL Times  

The Dutch care and welfare pension fund PFZW wants to halve the climate footprint of its investments by 2020. To do so the fund will be investing less in companies with high greenhouse gas emissions, and more in companies that contribute in solving the climate problem. The pension fund has a total invested capital of 161 billion euros. The fund …

Pension funds' interest rates recalculated, premiums could increase
9 years, 8 months ago

Pension funds' interest rates recalculated, premiums could increase

NL Times  

On Tuesday De Nederlandsche Bank announced that the way in which the interest rate for pension funds is calculated will be adjusted. The interest rate for pension funds is beginning to stray to far from the "real interest rate. Pension funds use the interest rate, which was fixed at 4.2 percent, to calculate the value of their future obligations. As …

Claim: Nearly 200 pension funds in financial trouble
9 years, 8 months ago

Claim: Nearly 200 pension funds in financial trouble

NL Times  

Two-thirds of Dutch pension funds, including 4 of the 5 largest funds, are in so much financial trouble that they will have to submit a recovery plan to De Nederlandsche Bank. Many pension funds were already in trouble after the financial crisis and had to submit their first recovery plan to the DNB in 2009. New rules for the pension …

Pension funds lose revenues from low interest rates
9 years, 11 months ago

Pension funds lose revenues from low interest rates

NL Times  

The financial position of major pension funds deteriorated over the first quarter. Low interest rates are resulting in lower returns on investments made by the funds, reports the newswire ANP. Five major pension funds announced reductions in their coverage rates, which indicate how well funds can meet their payment obligations. Lower interest rates are a result of the European Central …

Biggest Dutch pensions underfunded in 2014
10 years, 1 month ago

Biggest Dutch pensions underfunded in 2014

NL Times  

Four of the five largest industry pension funds had a funding shortfall on December 31st, 2014, the pension funds announced today. The low interest rate means that many pension funds have insufficient resources available to meet their long term liabilities, despite increased returns. The coverage ratio of the Pension Fund of the Metalelektro, which has 630 thousand members, decreased in …

MPs near agreement on pension reforms
10 years, 5 months ago

MPs near agreement on pension reforms

NL Times  

The Cabinet, governing groups and the opposition parties D66, ChristenUnie and SGP have reached an agreement on tightening the pension rules, Z24 reports. An important part of the bill is that pension funds are required to hold higher financial buffers from next year. Research will also be done into the low interest rates that pension funds must use to determine …

Pension Funds Improve Considerably
11 years, 5 months ago

Pension Funds Improve Considerably

NL Times  

On Thursday the Dutch pension funds made the numbers of the third quarter public. According to the law, the pension funds must have a degree of coverage higher than 105 percent. Is the degree of coverage lower than the said level than the pension funds can announce that they will pay less in the next year. Pension fund bpfBouw, of …

Pensions Under Stress
11 years, 8 months ago

Pensions Under Stress

NL Times  

The financial position of the major pension funds in the Netherlands has deteriorated over the past 3 months. The coverage of the five major pension funds went, without exception, down in the second quarter of this year. To avoid financial adjustments on the pensions the pension funds must have a minimum buffer, which is between the 4 and 5 percent. …

'New pension plans aim to force funds to take more risks'
11 years, 8 months ago

'New pension plans aim to force funds to take more risks'

Dutch News  

New rules for Dutch corporate pension funds will make the size of payouts less certain and force funds to take greater investment risks, RTL news reported on Thursday. The aim of the changes – which have been several years in the planning so far – is to ensure the Dutch supplementary pension system continues to work in the future. Inflation …

'New pension plans aim to force funds to take more risks'
11 years, 8 months ago

'New pension plans aim to force funds to take more risks'

Dutch News  

New rules for Dutch corporate pension funds will make the size of payouts less certain and force funds to take greater investment risks, RTL news reported on Thursday. The aim of the changes – which have been several years in the planning so far – is to ensure the Dutch supplementary pension system continues to work in the future. Inflation …

Pension funds ready to invest in Holland, with government guarantees
11 years, 8 months ago

Pension funds ready to invest in Holland, with government guarantees

Dutch News  

Dutch pension funds are prepared to invest heavily in housing, roads and infrastructure, mortgages and promoting sustainability, Nos television reports on Tuesday, quoting sources close to the talks. The broadcaster says the pension funds’ plans will be presented to the cabinet later today and have been drawn up after a year of talks. Assets The talks took place under the …

Pension funds ready to invest in Holland, with government guarantees
11 years, 8 months ago

Pension funds ready to invest in Holland, with government guarantees

Dutch News  

Dutch pension funds are prepared to invest heavily in housing, roads and infrastructure, mortgages and promoting sustainability, Nos television reports on Tuesday, quoting sources close to the talks. The broadcaster says the pension funds’ plans will be presented to the cabinet later today and have been drawn up after a year of talks. Assets The talks took place under the …

Pension funds prepared to invest in mortgages, give more air to banks
12 years ago

Pension funds prepared to invest in mortgages, give more air to banks

Dutch News  

Dutch pension funds are now prepared to help finance banks’ mortgage portfolios, giving them more room to make new loans, the Financieele Dagblad reports on Tuesday. The thesaurier-generaal – the finance ministry’s top civil servant – has been negotiating with pension funds, government officials and banks for almost three years in an effort to kick start the housing market and …

Pension funds prepared to invest in mortgages, give more air to banks
12 years ago

Pension funds prepared to invest in mortgages, give more air to banks

Dutch News  

Dutch pension funds are now prepared to help finance banks’ mortgage portfolios, giving them more room to make new loans, the Financieele Dagblad reports on Tuesday. The thesaurier-generaal – the finance ministry’s top civil servant – has been negotiating with pension funds, government officials and banks for almost three years in an effort to kick start the housing market and …

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