Annual Report IPF 2021 - Flipbook - Side 20
INDUSTRIENS PENSIONSFORSIKRING A/S
ANNUAL REPORT 2021
Outlook for 2022
Outlook for 2022
Members and contributions
Investment activities
In 2022, the number of members of Industriens
Pension paying via their employer is expected to
remain unchanged and the number of members at
the end of 2022 is expected to total around
425,000.
Every year, the Board of Directors revisits the
investment strategy in order to secure the highest
possible long-term real rate of return for members,
after taking risk into account. The target real rate of
return has been reduced from 3.0% to 2.5% for
2022.
Total contributions, including contributions to
sickness and accident insurance, are expected to
amount to DKK 10.3 bn. in 2022.
The Board of Directors sets the framework for the
composition of investments, and can leave room
for active management to increase returns.
Costs
Industriens Pension will continue its focus on
ensuring efficient administration of the pension
scheme in order to keep costs low. For 2022, each
member will pay DKK 24 per month to cover
administration costs.
Investment costs vary with the investment
strategy selected and are expected to increase in
line with the increasing market value of
investments. The costs recommendation from the
Danish Insurance Association has been updated
with effect from 2022. All else being equal, the
update will lead to an increase in the cost rate.
Returns on the company's investment assets are
expected to amount to DKK 10.6 bn. before tax on
yields of certain pension-scheme assets.
Rate of interest on members' savings
The rate of interest on members' savings for those
who are still in the average-interest-rate
environment has initially been set at 3.5% per
annum after tax on yields of certain pensionscheme assets in 2022.
Expected result for 2022
Profit for the year depends greatly on the return
achieved on the assets linked to equity. With the
assumptions applied regarding long-term returns, a
profit of around DKK 150 to 200 mill. is expected for
the financial year 2022.
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