NN CDC Pensioenfonds opts for De Nationale APF

An APF is a general pension fund (in Dutch: Algemeen pensioenfonds, APF is the abbreviation) that implements one or more pension schemes. An APF offers two options. A pension fund can place its capital separately from the capital of other pension schemes. Or it can place it with the joint capital. If it is separately placed, the pension fund has an ‘own circle’. In a joint circle the capital and the risks are shared with others. An APF offers economies of scale, professional implementation and flexibility in the organization of pension circles.

NN CDC will opt for an own circle. That way, our pension capital is separately placed from the capital of other pension funds. An own circle offers more control by means of a stakeholders’ body.

We have been a fully closed pension fund since 1 May 2023. This means that you do not accrue pension with us anymore. You and your employer do not pay us contribution for your pension anymore. So there is no longer income from there. The pension fund is too small to survive independently. That is why we opt for an alternative and sustainable pension solution.

We believe the best solution is to transfer our capital from the pension fund to an Algemeen pensioenfonds (APF). For this purpose NN CDC Pensioenfonds opted for De Nationale APF. This means that your pension with NN CDC Pensioenfonds will also be moved there. Other solutions are less attractive for several different reasons.

In principle, nothing financially will change in your pension. Your pension scheme will remain the same. What is new, is that the De Nationale APF will implement the pension scheme later on. From that moment on, you will receive communication from the APF. AZL will remain the trusted administrator of the pension scheme.

The pensions will not yet be transferred to the new rules for pension. The pensions will first be moved to De Nationale APF in one go. This is a collective value transfer. At a later stage the accrued pensions will be moved to the new rules for pension. This will be on 1 January 2028 at the latest. We agreed with De Nationale APF that they will implement the new pension scheme the same way as NN CDC would have done.

Yes. De Nationale APF is under the supervision of the Dutch Central Bank (De Nederlandsche Bank (DNB)) and the Netherlands Authority for the Financial Markets Autoriteit Financiële Markten (AFM)). De Nationale APF has to comply with the same strict rules as other pension funds.

No, this is not possible. This is the decision of NN CDC. NN CDC extensively studied all alternatives. We consulted with our Supervisory Board, our Accountability Body, and the employer NN. The request for advice and the request for approval were sent to these internal supervisors mid August. Subsequently DNB, as external supervisor of pension funds, will evaluate the transfer. This will also include the evaluation of the communication about the transfer by AFM.

Your pension will be moved to De Nationale APF. It will be placed in an own circle within the APF in order for your entitlements to remain separate from other schemes. If you already receive pension from us, then you will continue to receive your pension as you are used to now. In the course of time De Nationale APF will take over the communication and the payment of your pension. You will be informed timely about this.

This is partly related to the financial position of our pension fund. Our financial position is healthy. But our funding ratio is lower than the funding ratio of Pensioenfonds ING. If we transfer to Pensioenfonds ING before the introduction of the new rules for pension, it will be disadvantageous for our pensions. Currently, the funding ratios are gradually converging. However, there are other factors that influence the decision as well. For example, both funds have different participant bases, which means different policy choices have to be made, both now and in the future.

It is  not an option either to first implement the new pension rules ourselves and then transfer to the ING Pension Fund. That would require us to continue operating as a fund for several more years. That is not desirable, because we are already too small to continue independently for a longer period of time. It also means that it will generate high costs.

We want to offer a total solution for everyone. If we would transfer to BeFrank, there would be a problem with our current participants who are now receiving pension. BeFrank is unable to take over the payment of the current pensions. So another pension provider would have to take over those payments. We have found that this would mainly be disadvantageous for participants who are currently receiving a pension and who have a lower pension. That is something we do not want — we are and will remain united in solidarity.

Contact us through the NN CDC service desk. If you have questions, you can call the Pension desk 088 - 1162 421 or send an email to pensioenloket@nn.cdcpensioen.nl or complete the pension-desk on the website.