Dutch pension funding ratio drops to 114.6% - DNB

Latest News

Dutch pension funding ratio drops to 114.6% - DNB

By Natalie Tuck

30/01/24

The average funding ratio of the Dutch pension sector dropped 8.5 percentage points to 114.6 per cent in the fourth quarter of 2023, according to De Nederlandsche Bank (DNB).

Over the quarter total investments increased by €141bn to €1,564bn, while aggregate liabilities increased by €210bn to €1,365bn. The current funding ratio is below the figure for a year ago, which was 115.8 per cent. This change is partly attributable to the indexation granted in 2023, DNB stated.

The policy funding ratio, which is the average of the funding ratios from the past 12 months, came to 118.4 per cent. This represents a 0.5 percentage point decrease from the previous quarter.

“It fell because the funding ratios in the fourth quarter of 2023 were lower than those in the corresponding quarter of 2022,” DNB explained.

Podcast: Stepping up to the challenge

In the latest European Pensions podcast, Natalie Tuck talks to PensionsEurope chair, Jerry Moriarty, about his new role and the European pension policy agenda

Podcast: The benefits of private equity in pension fund portfolios

The outbreak of the Covid-19 pandemic, in which stock markets have seen increased volatility, combined with global low interest rates has led to alternative asset classes rising in popularity. Private equity is one of the top runners in this category, and for good reason.

In this podcast, Munich Private Equity Partners Managing Director, Christopher Bär, chats to European Pensions Editor, Natalie Tuck, about the benefits private equity investments can bring to pension fund portfolios and the best approach to take.