What are the benefits of investing?
StiPP invests your pension money. Every month we look at what the investments yield. Are the results positive? Then money will be added to your pension pot. Are the results negative? Then some money goes out.
StiPP invests in various asset classes. In this way, we spread the investment risks and strive for an optimal return. How much we invest in which category for you depends on your age. When you're young, we take on more investment risk. The older you get, the less risk we take. Unless you choose to invest a bit riskier. This can be done via 'Investing for a variable pension'. You can find more information about this on 'How does StiPP invest'.
Returns and participation values by age category
Below you can see the investment results for your age group. If you click on one of the age categories, you can see the development of the participation value and the investment return over the past years and the months of this year. From the age of 57, you can make a choice whether you want to want to invest for a stable pension or a variable pension.
For those age groups, you will therefore see two choices. If it says (S), it is the results of that age group with a stable investment profile. If it says (V), it is the results of the variable investment profile.
Source: Monthly report on investments StiPP
What is a participation value?
A participation is your share in the investment fund of your specific age group within the pension fund.
Investment return January to March 2024
In the first three months of 2024, most investment returns were positive. Investments in equities in particular got off to a good start this year. This was especially the case in developed markets such as America and Europe. The return on this category was +6.6% in the first three months.
The investment portfolio with government and corporate bonds ('medium income') also had a positive result: +0.4%. The long-term government bond portfolio ('fixed income long') had a negative return of -1.8%. Taken together, this means that almost all age groups of StiPP had positive returns. Only the elderly do not, but for them protection of the expected pension benefit is more important.
Across the various portfolios, these were the returns in the first quarter:
|
Real assets (e.g. shares) |
6,6% |
|
Medium income (e.g. government and corporate bonds) |
0,4% |
|
Fixed income long (government bonds) |
-1,8% |
|
Total portfolio (average) |
3,3% |
Source: Monthly report on investments StiPP
E-Newsletter
The amount of your pension depends on the investment returns of the fund. StiPP therefore publishes the investment results every quarter via this website and in an e-newsletter. It will provide you with more information about how StiPP invests the pension money and we will answer a question about investing and pensions. Would you also like to receive this e-newsletter? Then log in to My StiPP Pension. There, under My Data > Change data > Subscriptions and communication, you indicate that you want to receive the financial developments newsletter.
Notes on previous quarters
Fourth quarter 2024
In the last quarter of 2023, stock markets rose and interest rates fell. As a result, the investments have increased in value. The older participants notice this the most because they invest proportionally more in government bonds. Other market developments, such as real estate and equities in emerging countries, also contributed to the positive results. All in all, the portfolios of all participants have increased in value.
Third quarter 2023
In the third quarter of 2023, all portfolios ended in the negative. The main reason for the changes is the increased interest rates. The oldest age group notices this the most.
Second quarter 2023
In the second quarter of 2023, almost all portfolios ended in positive territory. This was mainly due to the return on equities in the so-called developed countries. The youngest participants benefit the most from this result on shares.
First quarter 2023
In the first quarter of 2023, the portfolios all ended in positive territory. This means that all age groups have had a positive start to the year: pension capital has increased. The youngest participants benefit the most from the positive returns. This is due to the increases in the stock markets.
Fourth quarter 2022
Interest rates continued to rise in the fourth quarter of 2022. The pension capital of the oldest participants was hit the hardest by rising interest rates. What does this mean for the pension benefits of participants who are about to retire? Fortunately, not much. The expected pension benefit for participants in the oldest age group (65-66 years) has remained virtually unchanged. This is because the high interest rate ensures that a higher monthly pension can also be purchased with the accrued pension capital. Do you have a small pension? Then the pension will be bought off. Your pension capital has become less valuable due to the negative returns. This means that the surrender amount has become lower. However, you can still choose to have your pension paid out monthly. Watch our animation in which we explain how we invest.
Looking at the results of the returns in the various portfolios of the past quarter: The "corporate securities portfolio" achieved a positive result, thanks to European equities. The "fixed income" portfolios were negatively impacted by rising interest rates. The "fixed income long" portfolio (which only includes government bonds) was clearly more affected by this than the other fixed income portfolio and had a return of -3.4% this quarter. As a result, the older age groups had negative returns this quarter, while the younger age groups benefited from the stock market and thus experienced positive returns.
Looking at the results of the returns in the various portfolios of the past quarter: The "corporate securities portfolio" achieved a positive result, thanks to European equities. The "fixed income" portfolios were negatively impacted by rising interest rates. The "fixed income long" portfolio (which only includes government bonds) was clearly more affected by this than the other fixed income portfolio and had a return of -3.4% this quarter. As a result, the older age groups had negative returns this quarter, while the younger age groups benefited from the stock market and thus experienced positive returns.
Third quarter 2022
Interest rates continued to rise in the third quarter of 2022. And the stock markets continued to fall. As a result, all portfolios ended in the negative. Once again, the 'Long Income Fixed' portfolio (which includes government bonds) was hit hardest by rising interest rates and fell the hardest. The values of the shares in the 'Commercial securities' portfolio and those of the bonds in the 'Medium income' portfolio also fell further. The distribution between the portfolios is different in each age group. As a result, the return achieved is also different in each age group. As in the previous quarter, investment returns were negative for all age groups.
The pension capital of the oldest participants was hit the hardest by rising interest rates. What does this mean for the pension benefits of participants who are about to retire? Fortunately, not much. The expected pension benefit for participants in the oldest age group (65-66 years) has remained virtually unchanged. This is because the high interest rate ensures that a higher monthly pension can also be purchased with the accrued pension capital. Do you have a small pension? Then the pension will be bought off. Your pension capital has become less valuable due to the negative returns. This means that the surrender amount has become lower.
The pension capital of the oldest participants was hit the hardest by rising interest rates. What does this mean for the pension benefits of participants who are about to retire? Fortunately, not much. The expected pension benefit for participants in the oldest age group (65-66 years) has remained virtually unchanged. This is because the high interest rate ensures that a higher monthly pension can also be purchased with the accrued pension capital. Do you have a small pension? Then the pension will be bought off. Your pension capital has become less valuable due to the negative returns. This means that the surrender amount has become lower.
Second quarter 2022
Interest rates continued to rise in the second quarter of 2022. Equity markets continued to fall. As a result, all portfolios ended in the negative. The 'Long Income' portfolio was hit hardest by rising interest rates and fell the hardest. The value of the shares in the 'Commercial securities' portfolio and the bonds in the 'Medium income' portfolio also fell further.
The distribution between the portfolios is different in each age group. As a result, the return achieved is also different in each age category. Investments yielded less for all age groups. The oldest participants were most affected by rising interest rates.
A small ray of hope for participants who are retiring now: the high interest rate ensures that a relatively higher monthly pension can be purchased with the accrued pension capital. Unfortunately, participants who surrender their pension on their retirement date saw their surrender value decrease.
The distribution between the portfolios is different in each age group. As a result, the return achieved is also different in each age category. Investments yielded less for all age groups. The oldest participants were most affected by rising interest rates.
A small ray of hope for participants who are retiring now: the high interest rate ensures that a relatively higher monthly pension can be purchased with the accrued pension capital. Unfortunately, participants who surrender their pension on their retirement date saw their surrender value decrease.
First quarter 2022
All asset classes showed a negative result. The value of the shares in the 'Commercial securities' portfolio and the bonds in the 'Medium income' portfolio decreased. After long periods of interest rate declines, interest rates rose sharply in the first quarter of 2022. Interest rates and value work in opposite directions: when interest rates rise, bond prices fall. As a result, the 'Long Income' portfolio, which only includes euro government bonds, showed the largest decline. The distribution between the portfolios is different in each age group. As a result, the return achieved is also different in each age group.
For members in the highest age group (65-66), this does not mean that their future pension has deteriorated. On the contrary. The rise in interest rates has also made pension purchases less expensive. On balance, therefore, pension purchases for older participants improved last quarter.
For members in the highest age group (65-66), this does not mean that their future pension has deteriorated. On the contrary. The rise in interest rates has also made pension purchases less expensive. On balance, therefore, pension purchases for older participants improved last quarter.
Fourth quarter 2021
In these three months, the investments have achieved a positive result. The positive result is mainly due to the fact that the shares performed well. Shares fall into the 'Commercial Securities' portfolio. This portfolio achieved a return of 4.9%. The second sub-portfolio is 'Medium Fixed Income'. This includes, among other things, different types of bonds. Due to a negative return on corporate bonds, this portfolio ended with a slightly negative return of -0.3%. The 'Long Fixed Income' portfolio achieved a small positive result: 0.3%. This is mainly due to a small price gain due to slightly lower yields on government bonds. Because the distribution between the portfolios is different in each age group, the returns achieved are also different in each age category. The total portfolio ended up by 2.6%.
Third quarter 2021
The part of your pension that we have invested in the 'commercial securities' category has achieved a negative return of -1.1% over the past three months. This was mainly due to the weaker performance on investments in emerging market equities. Interest rates rose only slightly, so that this loss could not be made up for by the other two asset classes. The 'medium income' portfolio achieved a positive return of 0.2%. The 'fixed income' portfolio had a small negative return of -0.1%. The younger you are, the more of your pension money we invest in the 'real assets' category. Investing in this category, which includes shares, is risky. If you are a little older, we prefer to take a little less risk with your pension. That is why we also invest in fixed income securities, such as government bonds. Are you 65 years or older? Then the return on your pension in these 3 months has been 0%. Are you younger than 65? In that case, your pension will have achieved a negative return of between -0.6% and -0.1%.
Second quarter 2021
The part of your pension that we have invested in the 'commercial securities' category has achieved a positive return of 5.4% over the past three months. Investments in (listed) real estate contributed the most to this. The younger you are, the more of your retirement money we invest in this category. Investing in shares, for example, is risky. If you are a little older, we prefer to take a little less risk with your pension. That is why we also invest in fixed income securities, such as government bonds. This category achieved a negative return of 1% in the past quarter. Are you over 65 years old? Then the return on your pension over these 3 months has been -0.3%. Are you younger than 65? Then your pension will have achieved a positive return of between 0.4 and 4%.
First quarter 2021
In the first quarter, the success of the various asset classes varied. Interest rates rose in the first quarter. As a result, the long-term fixed income asset class (government bonds) achieved a negative return. Shares did increase in value. This, together with the investments in real estate, resulted in a positive return on the commercial assets in the portfolio. Are you under 58 years old? In that case, the total return was positive and your pension capital has therefore increased. Are you over 58 years old? If so, your pension capital fell slightly last quarter.
Fourth quarter 2020
In the last quarter of 2020, the stock market's recovery continued. This resulted in a positive return of 10.4% in the 'commercial assets' portfolio, which includes equities. This positive return is reflected in the returns of the younger age groups. For example, if you are younger than 47, your return is 7.6%.
From the age of 57, more than 50% is invested in fixed-income securities. These portfolios include bonds. They mainly benefited from slightly falling interest rates. In addition, the result on corporate bonds was good.
In total, all age groups ended this quarter with a positive return between 1.7% and 7.6%.
From the age of 57, more than 50% is invested in fixed-income securities. These portfolios include bonds. They mainly benefited from slightly falling interest rates. In addition, the result on corporate bonds was good.
In total, all age groups ended this quarter with a positive return between 1.7% and 7.6%.
Third quarter 2020
Overall, all age groups experienced positive returns this quarter. For the return over the full year, this applies to the age groups for participants aged 57 years and older. In the third quarter, the recovery in equity markets continued. As a result, the 'Commercial securities' portfolio had a return of 3.2%. If you are between 21 and 57 years old, we mainly invest in commercial assets, including shares. As a result, you benefited the most from this positive return this quarter.
From the age of 57 until your retirement date, the investment risk is gradually reduced. By reducing the investment risk, you will have a better idea of the amount of the pension benefit that you can purchase on your retirement date. This means that we mainly invest in fixed income securities, including bonds. This quarter, you benefited from slightly falling interest rates. The longer a bond's maturity, the more it benefits from falling interest rates. The 'Fixed income medium' investment portfolio had a return of 1.5% this quarter and the 'Long Income fixed income' portfolio 1.9%.
From the age of 57 until your retirement date, the investment risk is gradually reduced. By reducing the investment risk, you will have a better idea of the amount of the pension benefit that you can purchase on your retirement date. This means that we mainly invest in fixed income securities, including bonds. This quarter, you benefited from slightly falling interest rates. The longer a bond's maturity, the more it benefits from falling interest rates. The 'Fixed income medium' investment portfolio had a return of 1.5% this quarter and the 'Long Income fixed income' portfolio 1.9%.
Second quarter 2020
After a turbulent first quarter, the equity markets in particular recovered well in the second quarter. The 'commercial securities' portfolio, of which the shares are a part, scored a positive total return of 13.9%. Due to a very good performance on corporate bonds, the 'fixed income medium' portfolio also scored positively at 2.2%. Finally, government bonds achieved a good return due to falling interest rates. This is reflected in the positive return of 2.3% in the 'fixed income long' portfolio.
Investing in real assets involves the most risk, but also the greatest chance of high returns. That is why investments are made in that category especially for the younger age groups. The risk is further reduced as you get older. As a result, the younger age groups benefited the most from the high return on the 'commercial securities' portfolio. But all age groups ended this quarter with a positive return.
Investing in real assets involves the most risk, but also the greatest chance of high returns. That is why investments are made in that category especially for the younger age groups. The risk is further reduced as you get older. As a result, the younger age groups benefited the most from the high return on the 'commercial securities' portfolio. But all age groups ended this quarter with a positive return.
First quarter 2020
The year started with the expectation that economic growth could pick up somewhat. The negative effects of the trade war and Brexit seemed to fade into the background. However, no one could have predicted at the time that the spread of COVID-19 would rapidly become a global pandemic. This is due to enormous economic uncertainties and a shock movement through the financial markets. Actions have been taken worldwide to bring the virus under control. A state of emergency has been declared in several countries and there is talk of a complete lockdown. As a result, the first quarter proved to be a particularly bad period for investors. Stock markets have fallen at a rapid pace and a recession is now expected. The youngest age groups suffered the most from falling equity markets this quarter, while for the older age groups this effect was dampened by rising bond prices as a result of falling interest rates. All age groups ended in the negative.