Our financial situation further improved in the 3rd quarter of 2018. Both the policy funding ratio (average over 12 months) and the monthly UFR funding ratio increased. In order to be able to increase the pensions, the policy funding ratio needs to be higher than 110% at the end of the year.
Policy funding ratio as at 30 September 2018: 109.3%
The financial situation of the past few months is reflected in the policy funding ratio, which is a 12-month average. This funding ratio increased from 108.5% to 109.3% in the 3rd quarter (as at 30 September). More information on the development of the policy funding ratio can be found here.
Current UFR funding ratio as at 30 September 2018: 111.5%
The current funding ratio increased from 108.4% to 111.5% in the 3rd quarter. This concerns the so-called UFR funding ratio, which is a snaphot of the end of the 3rd quarter.
Return on investments in 3rd quarter 2018: +1.0%
A positive return on investments (+1.0%) was made in the 3rd quarter. The investments to hedge the interest rate risk (Matching) showed a positive return of +2.6%. Investments to achieve an extra return (Return) yielded a return of -0.4% in the 3rd quarter.
Investment return Defined Contribution schemes
The returns per age category of our defined contribution schemes increased. The return fluctuated between +1.9% (for participants aged 58-68) and +2.1% (for participants up to age 47).
Do you need more information? Please consult the quarterly report.