Top five Dutch schemes ride equity rally to boost funding levels

first_imgThe latest figures became evident as industry schemes PFZW, ABP (civil service), PMT, PME (both metal) and BpfBouw (construction) published their annual and quarterly reports. Not only did the funds generally benefit from higher share prices, they also benefited from interest rates rising. Although the interest rate fell slightly in the last quarter of 2017, the discount rate for liabilities rose from 1.3% to 1.5%.Despite the boost to funding levels, only BpfBouw was able to increase its pensions for this year, as its funding level was above the required 110%. The scheme decided to index pensions by 0.59%. The other funds are damping expectations when it comes to indexing or averting cuts.“In all likelihood we will not be able to increase pensions much, if at all, in the coming five years,” ABP chair Corien Wortmann wrote in a press statement.“At the end of 2019 our scheme’s policy funding ratio has to reach at least 104.3%,” PME chairman Eric Uijen said. “We are not there yet. For this reason we cannot rule out pension reductions in 2020.”PFZW also warned of possible cuts if their policy funding ratio remained below 104.2% until the end of 2020.The differences in investment returns appeared to be large, with the lowest return almost half the amount of the reported highest return.With a 4.1% return PMT achieved the lowest result. ABP saw its assets grow by 7.6%. Interest rate and currency hedges have been included in these figures.ABPThe civil service scheme – the largest pension fund in Europe – showed the biggest increase in its policy funding ratio. It rose by almost 10 percentage points to 101.5%, mainly due to the returns on shares and real estate. Its total assets were worth €409bn at the end of 2017.PFZWThe healthcare workers fund booked a return of 5.1%. PFZW suffered losses on its insurance portfolio (-13.3%) due to the severe hurricanes hitting the US last year. The scheme also had to write off millions on structured loans, following an adjustment of the valuation model.BpfBouwBpfBouw’s assets increased by €3bn due to a return of 6.4%. Equities accounted for 10.9% and real estate for 9.9%. BpfBouw invests a relatively large portion of its capital (17%) in real estate. The scheme lost 1.2% on its interest rate hedge. The policy funding ratios of the Dutch pension schemes for metal workers PMT and PME have risen above 100% for the first time in years.Other large pension funds in the Netherlands also reported a boost to their policy funding ratios, mainly due to rising equity markets.The policy funding ratio is the 12-month average funding level upon which Dutch pension funds must base their policy decisions – in particular whether they can grant inflation-linked uplifts. Healthcare sector scheme PFZW was the only one of the Netherlands’ top five with a policy funding ratio below 100%, recording 98.6% at the end of December. Metal industry schemes PME and PMT hit 100% funding in 2017PMEPME recorded a return of 4.7%. The scheme achieved a 15.3% return on shares, and 7.3% on real state. The matching portfolio, which accounts for almost half PME’s assets, lost 2.8% of its value.PMTPMT showed an outcome comparable to that of PME, although this pension fund achieved somewhat lower returns on equity and real estate. On the other hand, the losses on its matching portfolio were as high as PME’s, resulting in a lower return overall (4.1%).last_img read more

HUGE CROWD EXPECTED FOR THE DANNY MCDAID 15K

first_imgPREPERATIONS are at an advanced stage for the staging of the 8th annual Danny McDaid 15 road race-fun run which takes place on Sunday, August 12.It was once the preserve of the elite runners – but now the Danny McDaid 15k has a fun run element too.Almost 200 athletes from all over Donegal, Derry, Tyrone and further afield put their toe to the line for last year’s race and with a growing resurgence in keeping fit and competitive racing organisers are hoping the record turnout in 2011 will be suprassed. The event was formally launched recently at the Station House Hotel, Letterkenny , who are the main sponsors of the event. The race begins at 11.30am and registration will take place in Aura Leisure Centre from 10 am. There will be a host of category prizes including top prizes for the first man and woman across the line.The 8th annual Danny McDaid 15k it promises to be the best event to date.The winner of the race last year was Patrick Brennan in a time of 48.59 is one of the highlights of the racing calendar and attracts top runners from all over the country.However, the organisers are also hoping people will come out and jog around the course which runs from the town out around New Mills and Rashedogue before finishing back in town via Conwal. The event is run in honour of double Olympian and LAC club stalwart, Danny McDaid who competed in the 1972 and 1976 Olympics for Ireland in Berlin and Melbourne.Speaking at the launch, Brendan McDaid of LAC, said the event has been growing in popularity ever year since its inception.“The Danny McDaid 15k carries a special aura and appeal for all runners. It is a top event on the local racing calendar but we’re also appealing to people to come out and just run the course. It is a great race and the numbers are growing every year,” he said.“We’re delighted to have The Station House as our main sponsor for the race.Mr Brian Gallagher, Proprietor of The Station House Hotel said he was delighted to be involved with the event. “Danny McDaid is a household name across the country. LAC is a great club and fosters great young talent. As a local businessman I’m always delighted to help out in any way I can.,’ he said.The race begins at 11.30am and registration will take place in Aura Leisure Centre from 10 am. There will be a host of category prizes including top prizes for the first man and woman across the line.The top ten last year were: Patrick Brennan (LAC 48.59), Ciaran Doherty (LAC 49.11), Pauric McKinney (LAC 50.44), Michael Black (LAC 51.13), Paddy Doherty (City of Derry 51.25), Gary Crossan (LAC 52.38), Pius McIntyre (Foyle Valley (52.42), Paul McCafferty (City of Derry (53.16), Gavin Crawford (24/7 Triathlon 53.28) and Paul McGlinchey (LAC 53.57)HUGE CROWD EXPECTED FOR THE DANNY MCDAID 15K was last modified: July 28th, 2012 by StephenShare this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Reddit (Opens in new window)Click to share on Pocket (Opens in new window)Click to share on Telegram (Opens in new window)Click to share on WhatsApp (Opens in new window)Click to share on Skype (Opens in new window)Click to print (Opens in new window)Tags:15kDanny McDaidroad racelast_img read more