The coverage ratio of the Netherlands’ Pensioenfonds Hoogovens increased to 103.3 per cent in September, compared to 102.3 per cent in August.
However, this is down from 111.5 per cent at the start of the year.
The fund stated that actuarial interest rate over the year had a negative effect of 10.7 percentage points on the development of the current fund ratio.
In addition to this, the value of invested assets has decreased from €9,545m at the start of the year, to €9,464m at the end of September.
This in turn saw the current funding ratio increase by 0.3 percentage points, alongside a positive actuarial result of 2.8 percentage points in 2020.
Meanwhile, the fund’s policy funding ratio, the average coverage ratio over 12 months, decreased from 102.5 per cent to 102.4 per cent in September.
The fund explained that, as a result, the policy coverage ratio is now 17.3 percentage points lower than the required coverage ratio of 119.7 per cent.
Whilst the funding ratio remains lower than the rate recorded at the start of the year, the latest increases are a slight recovery from March, when the fund’s invested assets had fallen to just € 8,633m and its coverage ratio to 94.7 per cent.
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