PFA Invests

PFA Invests

In PFA Invests, you can select from three investment profiles with different investment risks and return potentials. In addition, you can choose whether your savings should be invested with a broad investment focus or focus on, for example, climate or index-tracking investments. 

PFA Invests: Invest in market rate

In PFA Invests your savings are placed in market rate and your return therefore tracks the development of PFA’s investments on the finance markets. You have the option of choosing how your savings should be invested so that it reflects your preferences in terms of risk and expected returns. The greater the risk you take, the higher the expected return during upturns in the financial markets, and the greater the expected loss during downturns.

Choose among three investment profiles

You can choose among Profile Low, Profile Medium and Profile High. Profile Low comes with the lowest risk and the lowest potential for a high return. Profile High has the greatest possibility of a high return – but also the highest risk. The investment profiles are based on Low-risk funds and High-risk funds, that invests in e.g. shares, bonds, property and alternative investments. The higher the investment risk of the profile, the greater the share placed in the High-risk funds.

The choice of investment profile is important for your pension savings – as well as for your future. Therefore, it is important that the relation between risk and return matches your preferences and your finances. The right choice depends, among other things, on what your overall financial situation and your total long-term savings look like. Profile Medium will often be suitable for most people, Profile Low may be a better option for you who have less risk tolerance. Meanwhile, Profile High may be the perfect match, if you prefer to invest your savings with the potential of a higher return, but thus also a higher risk of loss.

You can view and change your investment profile on My PFA. If you are unsure about which profile is right for you, we recommend that you use the investment guide on My PFA.   

The risk will be automatically gradually reduced

It applies to all profiles that the risk will be automatically gradually reduced as you approach pension payout age. This is to reduce the risk of large fluctuations in the savings at the end of the savings period, where the need for security rises and you have limited time to recover any losses, which will ensure greater stability in future pension payouts. The gradual reduction will continue after you have started receiving pension payouts.

Here, you can read about how the gradual reduction occurs in the different profiles.

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Profile Low

Approximately 60 % of your savings are invested in the High-risk funds and approximately 40 % in the Low-risk funds.

The allocation indicates the risk in the profile before gradual reduction of risk, which begins 14 years before the pension payout date. At retirement, the investments in the High-risk funds are gradually reduced to approximately 30 per cent. Hereafter, the proportion will be reduced by approximately 1 percentage point per year and be approximately 10 per cent 20 years after the pension payout date. The percentage will not fall below approximately 10 per cent.

 
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Profile Medium

Approximately 95 % of the savings are invested in the High-risk funds and approximately 5 % in the Low-risk funds.

The allocation indicates the risk in the profile before gradual reduction of risk, which begins 18 years before the pension payout date. At retirement, the investments in the High-risk funds are gradually reduced to approximately 45 per cent. After that, it will be reduced by approximately 1 percentage point per year and be approximately 20 per cent 25 years after retirement. The percentage will not fall below approximately 20 per cent.

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Profile High

100 % of the savings will be invested in the High-risk funds.

The distribution indicates the risk in the profile before gradual reduction of risk, which begins 12 years before retirement. At retirement, the investments in the High-risk funds are gradually reduced to approximately 60 per cent. After that, it will be reduced by approximately 1 percentage point per year and be approximately 30 per cent 30 years after retirement. The percentage will not fall below approximately 30 per cent.

Do you have Profile Cautious? Read more here.

What should be the focus of your investment?

Once you have chosen an investment profile, you must choose whether your pension savings should be invested with a broad investment focus that is regularly adjusted in line with the world situation, an increased focus on climate or a simpler solution with index-tracking investments.

 

Ikon for PFA Plus 

PFA Plus

Has a broad investment focus that encompasses PFA’s entire investment universe, including unlisted investments such as properties. The investments are regularly adjusted in line with the world situation and may be made in, for example, start-ups, security and the green transition.

Read more about PFA Plus

 
Icon PFA Climate Plus 

PFA Climate Plus

Has an increased focus on climate to promote the green transition. Investments are broadly diversified with a focus on a low CO2 footprint, including in unlisted investments and forests. The investments are regularly adjusted in line with the world situation, and no investments are made in oil and gas companies or weapons manufacturers.  

Read more about PFA Climate Plus

Icon PFA Index Plus 

PFA Index Plus

Has a focus on investing in an index-tracking manner and tracks the development of selected fixed indices for listed shares and bonds.

Read more about PFA Index Plus

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Smilende mand ved sit skrivebord 

Risk labelling

Risk labelling related to your pension savings. 

Read more about risk labelling

Mand sidder foran PC i sit hjem 

You Invest: Investment option where you decide yourself

You Invest is an investment solution for those who want to take responsibility themselves for how their pension is invested.       

Read more about You Invest