ExxonMobil’s Dutch pension fund exploring move to Belgium

first_imgThe Dutch scheme has almost 5,000 active participants and pensioners.Its coverage ratio at year-end was 131.6%.The pension fund reported a total return on investments of 25.5% for 2014.At the start of 2015, it replaced its final salary plan with average salary arrangements with full indexation.A number of Dutch pension funds are currently considering the possibility of joining or establishing a pan-European pensions vehicle in Belgium due to increasing regulatory pressure in the Netherlands, cheaper supervision and VAT exemption.Pharmaceutical company Johnson & Johnson recently completed the transfer of its Dutch pension fund to Belgium after a three-year long process.Last year, 200 employees and pensioners of the Dutch branch of financial services provider Euroclear joined the Brussels-based company scheme Euroclear Pension Fund OFP. The €2.5bn Dutch pension fund of energy giant ExxonMobil has said it is considering to join its Belgian sister scheme in setting up a cross-border pension fund. It said an initial study had shown that placing its pension arrangements in a joint scheme could cut implementation costs considerably, without any change in the plan or pension obligation.Since 2012, ExxonMobil has maintained two pension funds in the Benelux region: the Stichting Pensioenfonds Protector in the Netherlands and the ExxonMobil OFP in Belgium.Protector said it intended to establish a cross-border scheme in Belgium by extending the current ExxonMobil OFP into an IORP.last_img

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