Dutch pension funding ratio drops to 114.6% - DNB

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.



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