Funding ratio October 2021
The (actual) funding ratio rose slightly again in the past month, from 112.8% to 113.6%. As the return on investments was positive, the invested capital increased. The interest rate in October decreased compared to September, which caused an increase in the provisions. However, the capital increase proved sufficient to compensate for the higher provisions. Provisions refer to the money that the pension fund has to reserve in order to be able to pay out all pensions in the future.
The actual funding ratio as of the end of October 2021 is 113.6%
The actual funding ratio is the funding ratio measured at the end of the month. This funding ratio immediately shows the consequences of financial developments and can therefore fluctuate significantly, as shown in the chart below.
Development of the actual funding ratio over the past 12 months
The policy funding ratio as of October, 2021 is 108.6%
The policy funding ratio is the average of the last 12 actual funding ratios. The policy funding ratio is the most important funding ratio. Policy decisions on indexation and curtailment of your pension are based on this funding ratio. By using an average, this funding ratio shows less fluctuations than the actual funding ratio.
Development of the policy funding ratio over the past 12 months