How do we deal with our high funding ratio?

From 1 January 2023 to 30 September 2023, our policy funding ratio rose from 108% to 123%. This means the pension fund has more than enough cash to pay out your future pension benefits. And also for the pension benefits we are paying out already. On top of that, we have enough cash to absorb adverse conditions that might occur in the future. 

In other words, our current funding ratio is in a good place. That's why we are now exploring options for taking less risk with our investments, also because interest rates have risen, which is good for our funding ratio. On the other hand, if interest rates go down, we don't want our funding ratio to decline right away. That's why we are hedging the risk of declining interest rates more than in previous years. We are also taking into account that a new pension system will be implemented in the near future. The higher our funding ratio when we switch to the pension new system, the easier the transition will be.