Market rate savings
Market rate savings – PFA Plus
The conditional guarantee applicable to your pension plan has lapsed, and your plan is placed in the market rate environment, in which the return follows the development on the financial markets and is added to your savings on an ongoing basis. You can choose among four investment profiles that differ in risk and expectations to return, and, as a starting point, PFA will manage the investment of your savings. The greater the risk you are willing to take, the higher the return potential. All the investment profiles are subject to life cycles, in which the risk will be reduced gradually as you approach retirement.
If you are still making payments to your plan, you can change your investment profile at My PFA (mitpfa.dk) without any extra charges. At My PFA, you also find the Investment Guide which can help you determine which investment profile that best suits your return expectations and risk appetite.
If you prefer to select which funds to invest your savings in yourself, you can select You Invest.
Read more about savings in PFA Plus
PFA CustomerCapital – a unique profit and risk sharing model
Most companies have a responsibility towards their owners or shareholders to pay out the company’s profits as dividends. This is not the case in PFA Pension where the owners decided back in 1917 that most of the profits should go to the customers instead. This is done through PFA Customer Capital, which is similar to an investment in PFA Pension. This type of investment gives you the option of receiving a particularly high return on investment for part of your savings.
Just like other investments, CustomerCapital is subject to risk. Together with equity, CustomerCapital forms part of PFA Pension’s capital base, which is to cover any losses that PFA Pension suffers. Therefore, CustomerCapital may decrease and, in the worst case, run out.
The part of CustomerCapital that is included in your own savings is called Individual CustomerCapital, and it will carry at least the same interest as PFA Pension's equity. In addition, there is a possibility of an extra interest through PFA Pension's unallocated reserves, also called Collective CustomerCapital, where PFA Pension fixes part of the interest. When CustomerCapital is linked to your plan, an amount corresponding to five per cent of the payments that are made to your savings in PFA Plus will be transferred to Individual CustomerCapital. The interest on Individual Customer Capital is transferred to your remaining savings.
You may deselect CustomerCapital
You can select/deselect CustomerCapital for future payments at My PFA (mitpfa.dk). Even though you deselect CustomerCapital, already accumulated Individual CustomerCapital will be maintained, and will not be converted into regular savings.