The Netherlands’ Pensioenfonds PostNl funding ratio dropped to 123.4 per cent over January.

Publishing its monthly update, the fund revealed that its funding ratio has decreased from December when it stood at 126.2 per cent.

However, the policy funding ratio rose to 122.2 per cent in January 2022 up from December 2021’s figure of 121.4 per cent. The policy funding ratio is the average of the current funding ratios of the past 12 months.

“At the current policy funding ratio, the pension fund is in relatively good shape. We were, therefore, able to increase the pensions by 1.95 per cent as of 1 January 2022,” the fund stated.

Over the month the value of investments decreased by 2.7 per cent in January 2022, which had a negative effect on the funding ratio in January. On the other hand, interest rates rose slightly in January. This in turn has a positive effect on the funding ratio. This time the effect of the fall in the value of the investments was greater than the effect of the rise in interest rates.

“The board regularly discusses developments in the markets and in the investment portfolio with the investment advisers. This ensures proper monitoring of whether and when additional measures may be required. No additional measures are required at this time. The pension fund also has a crisis plan that provides guidance,” the fund stated.

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