2008年-世界发展银行全球_A_Short_Note_on_the_ATP_Fund_of_Denmark_23页_153kb

报告摘要

Summary of the ATP Fund of Denmark

Core Content

The ATP (Arbejdmarkedets TillaegsPension) Fund of Denmark is a public pension fund established in 1964 to supplement the universal pension system. It is designed to provide additional retirement benefits to workers and recipients of transfer income, with a focus on investment performance, cost efficiency, and risk management.

Main Objectives

To complement the universal social pension and occupational/personal pension plans.
To provide supplementary retirement benefits through a funded scheme.
To offer guaranteed minimum benefits based on a minimum interest rate and deferred annuity conversion factors.
To support a hybrid pension model with elements of both Defined Contribution (DC) and Defined Benefit (DB) plans.

Key Features

Mandatory Participation: Initially mandatory for most working people, it now includes most recipients of transfer income, with self-employed participation being voluntary.
Low Contribution Rates: Contributions are set in absolute terms and are low relative to earnings (less than 1% of average earnings).
Guaranteed Benefits: Offers minimum guaranteed interest rates and deferred annuity conversion factors.
With Profits Policies: Group annuities are based on investment performance and longevity experience, with annual bonuses.
Innovative Investment Policies: ATP has been a leader in adopting modern investment strategies, including long-dated interest-rate swaps and alternative assets.
Risk Management: Implements systematic risk management to diversify risks and better match assets and liabilities.
Corporate Governance: Complies with responsible investing principles and has a clear policy on corporate governance.

Fund Governance Structure

Board of Representatives (BoR): 31 members, 15 from employers, 15 from workers, and an independent chairperson.
Supervisory Board of Directors (BoD): Composed of the BoR chairperson and 12 elected members, 6 from each social partner group.
Executive Committee (EC): Three members, responsible for implementing BoD decisions, particularly in investment and employment conditions.
Chief Executive Officer (CEO): Appointed by the BoD, responsible for managing the fund's operations.
Regulatory Oversight: Supervised by the Danish Financial Supervisory Authority (DFSA), with regulations similar to those for insurance and pension institutions.

Contributions

Contribution Split: 2/3 by employers, 1/3 by employees.
Contribution Rates:
- 'A' Contribution: Increased from 1.4% in 1964 to 1.25% in 1992, then to slightly less than 1% currently.
- 'B' Contribution: Frozen at 1.166 DKK since 1982.
- 'C' Contribution: Introduced in 1996 for some public sector workers who accepted higher contributions.
- 'D' Contribution: Introduced in 2006, with further increases expected in 2009.
Political Factors: Low contribution rates were due to political deadlock and a preference among unionized workers for higher benefits in their own schemes.

Benefits

Pension Structure: ATP provides single life annuities, with lump sum withdrawals available for small balances.
Benefit Calculation:
- For contributions before 2002, benefits were based on a guaranteed interest rate of 4.5%.
- For contributions after 2002, the guaranteed rate was reduced to 2%.
Conversion Factors: Vary by age, with higher factors for younger contributors and lower for older ones (see Table 2).
Survivor Benefits: Paid to dependents of deceased members, with changes in 2002 and 2006 affecting the amount and structure.
Retirement Age: Lowered to 65 in 2004, with plans to increase it back to 67 between 2024 and 2027, and to index it to life expectancy after 2025.

Investment Performance

Historical Returns:
- Achieved an average annual nominal return of 11% and real return of ~6% since its inception.
- Initially struggled to beat inflation, but has since recorded high investment returns and low operating costs.
Asset Allocation: Diversified across domestic and foreign equities, long-dated foreign bonds, and alternative assets.
Risk Management:
- Uses long-dated interest-rate swaps to hedge pension liabilities.
- Created a dedicated department for risk hedging.
- Aims to improve longevity risk management through a new guaranteed benefits plan.

Conclusion

The ATP Fund of Denmark has evolved significantly over the decades, adapting to changing economic conditions and policy reforms. It has demonstrated strong investment performance and cost efficiency, making it a model for other pension institutions. Despite its hybrid structure and with profits policies, it has faced challenges such as political inertia and the need to adjust to increasing longevity. Recent reforms have aimed to enhance transparency, reduce risk-sharing, and improve long-term sustainability.

Key Information

Established: 1964.
Coverage: Initially limited to working people, now nearly universal.
Contribution Rates: Ranged from 1.4% to 0.3% of average earnings historically.
Guaranteed Interest Rate: 4.5% before 2002, reduced to 2%.
Investment Strategy: Emphasizes diversification, innovation, and risk management.
Governance: Complex and rooted in labor market traditions, with a strong emphasis on social partners.
Future Changes: Retirement age will increase to 67 by 2027, and benefits will be indexed to life expectancy after 2025.