Iceland’s Birta Pension Fund has reported an increase in assets across its divisions in 2025, although the scheme remained in deficit, according to its latest financial statements.

Birta - the fourth largest pension fund in Iceland - said total combined assets across its mutual insurance, private equity and specified private equity divisions reached ISK 736.7bn at the end of 2025, up from ISK 696.1bn at the end of 2024.

Net assets in the mutual insurance division, which covers pension payments, rose to ISK 707.9bn, compared with ISK 669.2bn a year earlier.

The private equity division’s net assets increased to ISK 24.3bn, while the specified private equity division grew to ISK 4.5bn.

In terms of membership, the fund reported 20,750 active members during 2025.

A total of 19,599 pensioners received payments from the mutual insurance division, with the number of pensioners increasing by 4.4 per cent over the year.

Pension payments from the mutual insurance division totalled ISK 24.7bn on average, while payments from the private equity and specified private equity divisions amounted to ISK 1.1bn and ISK 230m respectively.

Meanwhile, the fund delivered a nominal return of 5.89 per cent in 2025, equivalent to a real return of 2.11 per cent, down from 6.29 per cent in 2024.

Over the longer term, the mutual insurance division achieved an average real return of 1.74 per cent over five years and 3.37 per cent over 10 years.

Key operational figures showed that Birta paid ISK 26.2bn in pensions during the year, while receiving ISK 25.7bn in premiums.

Despite the growth in assets, an actuarial assessment indicated that total liabilities exceeded total assets by 6.04 per cent.

However, operating expenses remained low, accounting for 0.15 per cent of average assets.

The fund confirmed that its annual meeting would take place on 16 April 2026.

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