Pension funds under new system achieve positive results on the stock market

Pension funds that have already transitioned to the new system have achieved a positive result on the stock market, mainly thanks to shares in artificial intelligence (AI). This is evident from their figures for the second quarter. As it stands now, pensions may be increased slightly by 2027.

The good results are mainly due to positive returns on the stock market. The enthusiasm surrounding AI and large profits at companies contribute to this. The unrest in the financial markets surrounding the war in the Middle East has also subsided somewhat.

In the first quarter, the war around the Persian Gulf still had a major influence on the figures. At that time, it was hinted that pensions could not be increased next year.

That sentiment has now turned around. For three funds - Metaal en Techniek, Zorg en Welzijn, and BpfBouw - the return for members who are already receiving a pension was between 4.2 and 5.7 percent in the second quarter.

In the new pension system, participants have individual pension pots. For younger participants, investments are made with more risk. That can lead to losses, but also high profits. The closer a participant gets to retirement age, the less risky the investments become.

Small increase

Due to the positive quarterly figures, the expectation is that pensions can be increased slightly next year. At Metaal en Techniek, the increase may be 0.5 percent. At Zorg en Welzijn, that is 0.6 percent. BpfBouw is not making any statements about a possible adjustment.

The adjustments are only an indication, the funds emphasize. Ultimately, the position on September 30 will be decisive for the adjustments to pensions in 2027.

BpfBouw, Zorg en Welzijn, and Metaal en Techniek say they have sufficient buffers to absorb any new stock market shocks, making a reduction in pensions next year very unlikely.