Stichting Pensioenfonds AT&T Nederland (SPAN) has completed a buyout with Athora Netherlands’ Zwitserleven business for an undisclosed amount, transferring 500 participants and €170m in assets under management.
As part of the transfer, participants will receive a one-off catch-up indexation of 5.68%, from this month, and an annual indexation equal to European price inflation (100% HICPxT).
SPAN’s participants include approximately 170 pensioners and 330 deferred members, and with this transfer, the pension fund will eventually cease to exist.
De Nederlandsche Bank (DNB) has already approved the collective value transfer and also includes the transfer of approximately €3.5m of defined contribution capital to Zwitserleven.
Commenting, SPAN chairman, Bert van der Plas, said: “We asked several insurers to submit a quote for the transfer of the pension liabilities of SPAN.
“Among other things, we looked at the quality of service, experience with previous pension fund transfers, the level of indexation received by our participants, and the extent to which the insurer could cover the financial risks for SPAN between the moment of choosing the insurer and approval by DNB.
"After an extensive comparative study, the board decided to transfer the pension liabilities to Zwitserleven, as they scored highest on these points.”
Furthermore, Zwitserleven director of pension risk transfer, Ruud van Doorn, thanked SPAN’s board for its trust.
“With this transaction, Zwitserleven once again offers an attractive solution for a pension fund and its participants in the complex transition to the new pension system. This allows participants of SPAN to enjoy an insured and inflation-linked pension,” he added.
Athora Netherlands noted that an increasing number of pension funds are choosing to place their pension obligations with insurers due to the transition to the new pension system.
