Cumulative Fund for Pension Rights: SL pension fund in a better position than expected

21 September 2023

Cumulative Fund for Pension Rights publishes on its website:

It has emerged that the calculations of the actuarial assessment of the SL pension fund for the year 2022 were not entirely correct. Therefore, the fund’s position was recalculated and the result is that it is somewhat better than the fund’s annual accounts for the year 2022 report.

Instead of total liability being -5.8%, it is -4.7%.

The change is therefore beneficial to the fund and fund members, amounting to 1.1%, and the fund’s position is stronger as a result. An actuarial audit is carried out annually to monitor the fund’s ability to support current and future pension payments, but it may vary between years. According to the law on pension funds, the total balance of pension funds can never be worse or better than 10% of the total liability, but the fund has always been below that limit and is therefore in a strong position to meet its obligations in the present and in the future. The Financial Supervisory Authority of the Central Bank of Iceland has already been informed of this situation. We apologize for this, but the correction will be mentioned in the annual accounts for this year.

Source: Cumulative Fund for Pension Rights