Swedish pension provider AMF has decreased fees for approximately four million traditional insurance savers, with the variable fee being reduced by over 30 per cent, from 0.15 per cent to 0.1 per cent.

Around a hundred thousand customers in the SAF-LO Agreement Area who have chosen to have their savings in unit-linked insurance will also receive a reduced fee.

For these savers, the annual insurance contribution will be reduced from SEK 60 to SEK 50. The new fee levels will apply from 1 January 2025.

AMF CEO, Tomas Flodén, said that the provider’s mission was to deliver the best and safest occupational pensions possible, with high returns and low fees, and acknowledged how “important” a low fee is for long-term savings such as retirement.

“We are now lowering the fee for AMF's traditional insurance and ensuring that the pre-selection option is the cheapest way for Sweden's privately employed workers to save for their occupational pension,” he added.

The fee ceiling in the SAF-LO agreement area will be maintained at SEK 400, which means that no saver pays more in fees in a single year.

Flodén explained that AMF is run according to reciprocal principles, meaning that all profits created over time go back to its customers.

Given this, he said that low fees were also proof of its ability to keep costs low and efficiency high.

“When we are successful in taking care of savers' money, there will be more money left over for pensions, and our contributions can be reduced,” Flodén added.

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