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april 2020
 
Take good care of yourself
 
Take good care of yourself
 
 
 
The coronavirus affects us all
 

The coronavirus affects us all. We are experiencing an unprecedented crisis. Public life has come to a standstill, we have stopped visiting each other and are missing personal contacts. A lot of people are working from home and working conditions in factories and offices have been adapted. Mars Pensioenfonds is also feeling the impact of the crisis. The Mars Pensioenfonds pension board is closely monitoring developments and making adjustments where necessary.

It is completely understandable that you have a lot of questions. Also about the impact the coronavirus has on your pension. This newsletter tells you more about this. If there is any news, you can also read it on our website.

In the meantime: take good care of yourself and each other!

 
 
 
William van Ettinger, Chairman of the board, explains what this means for Mars Pensioenfonds.
 
 
Crisis team
 

The pension board has set up a dedicated crisis team that meets at least once a week. This team monitors continuity at all Mars Pensioenfonds relations. We want all key processes to continue as usual. And with our current techniques, we are managing this everywhere. Because the people of the administration department can also work from home, you can still contact them and they can continue to answer your questions. Pensions can be paid on time and pension applications are handled as usual.

 
 
The financial impact for the pension fund is severe,
 
The financial impact for the pension fund is severe,
 
but Mars Pensioenfonds is not in trouble!
 

With the financial markets having suffered a major blow, the funding ratio of the Mars Pensioenfonds has plummeted, but it could have been worse. Because in the past we took different kind of steps and measures to slow down the risks, the negative consequences of the falling interest rate have been partly offset. These measures have also offset part of the drop in share prices. Nevertheless, our capital has fallen below the required level and there is a reserve shortfall. The Policy Funding ratio at the end of March was 120% and the required Funding Ratio is 123%. As a result, Mars Pensioenfonds will have to submit a recovery plan to De Nederlandsche Bank before 1 July.

The recovery plan specifies how, based on the policy funding ratio, we will once again meet the required Funding Ratio within a maximum of ten years. As pension funds have a long-term horizon, we expect that future recovery of the financial markets will also trigger recovery of the funding ratio. But this may take a while, and it is impossible to say how this will affect indexation in 2021 or the contribution to be paid by the employer. The policy funding ratio of September of this year will serve as a reference date for this.

As usual, the funding ratio and policy funding ratio will be published on the website every month. This also shows how they develop.

 
Read more: policy funding ratio March 2020
 
 
 
 
 
Investments in the Associate Selection Plan
 

Investments in the ASP have also fallen. Like the investments as part of Mars Pensioenfonds, these are long-term investments. Here, too, it is to be expected that future recovery of the financial markets will make up for current losses. That is what happened with losses during the previous crisis. However, it cannot be guaranteed that this will happen. The pension board will monitor these developments and adjust where possible.  

 
 
 
Key processes continue as usual
 

As mentioned above, we ensure that key processes continue as usual. We are happy to answer any questions you may have. To prevent the spread of the coronavirus, all employees of our pension desk work from home. They are ready to answer your questions. They prefer to receive questions by email, but will also answer your calls.

 
 
 
Stay healthy and take good care of each other!
 
Best regards, William
 
 
 
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