Highlights of the annual report:
- Market outperformed despite challenging market conditions
- Lower costs per participant
- Members given additional insight and action agenda
- New accommodation for business units
In 2018 APG achieved an average additional return for its pension funds and their members of 90 basis points compared to the market. At the same time, APG succeeded in reducing its administration costs per participant by 6% to €69.40. APG also gave 850,000 ABP participants an insight into pension assets via the Personal Pension Depot, and 56,000 SPW participants were given a financial action agenda with the launch of Clear Overview and Insight. APG's turnover in 2018 was €1,036 million. The net result was €48 million.
Gerard van Olphen, chairman of APG's Executive Board: “What I found the most challenging were the external circumstances. We're working hard on pension value: our aim is to create as much value as possible for every euro that participants put into their pension. Over the past year, we've taken a few good steps: we're strategically on track, we've reduced the average administration costs per participant by six percent and we have offered people more insight into their pension. At the same time, the market continues to be plagued by the prospect of cuts due to low interest rates. The lack of a pension agreement also continues to decrease the confidence of participants and public support in general. That doesn't make it easier.”
APG manages the pension assets of millions of people, and they have to be able to rely on their accrued pension rights being properly invested, administered and paid out.
In 'Pension shouldn’t become a second Brexit', CEO Gerard van Olphen and Ronald Wuijster, responsible for asset management, look back and ahead and explain how APG deals with dilemmas such as no pension agreement, returns versus sustainability and bonuses for investors. Read the entire interview here