How have we structured the investments?
The board of management determines the investment policy and holds ultimate responsibility for the execution of the pension fund's asset management. It reports on the contents of the investment policy to the accountability body and to the members via the annual report.
We have an investment committee, which assists us in all areas relating to the investment policy.
Investment Committee
The investment committee prepares the board's decisions on the strategic investment policy. It is also responsible for further specifying and implementing the strategic investment policy, as well as for monitoring the outsourced investment activities. The investment committee makes use of external advisors.
Fiduciary manager
For certain tasks, the Pension Fund is supported by a fiduciary manager. The fiduciary manager provides advice on the investment policy and on hedging the risks in the balance sheet. In addition, the fiduciary manager is responsible for the daily implementation, monitoring and control of the investment policy. Controlling and managing the risks are also tasks of the fiduciary manager. The fiduciary manager reports on the achieved investment results and the risks of the investment portfolio. Finally, the fiduciary manager also takes care of the investment administration.
Asset managers
Specialist asset managers are tasked with taking care of the purchase and sale of shares, bonds, mortgage loans and real estate. These asset managers are selected according to a careful and comprehensive procedure. We set specific selection criteria for each asset class and have targets and objectives in place regarding returns, risk and sustainable investment. The costs of the mandate in question must be appropriate to those objectives.
The asset managers report to the fiduciary manager. The fiduciary manager reports to the board on a quarterly basis.
Custodian
The fiduciary manager uses the administrative data of the custodian for the investment administration. The custodian is a specialised financial institution that safeguards the financial assets, as stipulated in the custody agreement. The custodian also ensures the timely and correct settlement of transactions.
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