Swedish pension company AMF has converted SEK 7bn of existing surplus into enhanced guarantees for approximately 775,000 traditional insurance customers who have a pension with AMF.

The company was able to enhance these guarantees due to a strong financial position, which provided it with an opportunity to improve security for customers with traditional insurance.

Commenting on the news, AMF head of product, Roland Kristen, said: “The majority of our customers save in or receive their pension from our traditional insurance. It is a sound savings scheme underpinned by a guarantee, where we manage and invest the money so that it grows as securely and effectively as possible over time.

“It is reassuring that, particularly in a turbulent and uncertain global climate, we can implement a guarantee enhancement again this year. Together with previous enhancements and the guarantee that always underpins our traditional insurance, this contributes to a good balance between security and return.”

This is the fourth time AMF has implemented its current model for strengthening guarantees.

In 2025, SEK 600m was converted to strengthened guarantees for approximately 120,000 customers, in 2024, SEK 5.6bn was converted to strengthened guarantees for approximately 700,000 customers, and in 2023, SEK 9.4bn was converted to approximately 660,000 customers.

"The model means that in addition to reducing the risk in connection with the commencement of payments, we also ensure that customers receive an adapted level of risk throughout the payment period. The model applies to the payment of both old-age pension and survivor's pension from traditional insurance," Kristen said.

In addition, the guarantees are continuously increased as the customer approaches retirement age.

The guarantee reinforcement means that a larger part of the customer's pension is guaranteed and that the insurance risk level is reduced.

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