Investment results

The amount of your capital also depends on your investment results. The Mars Pension Fund invests the contributions in the ARP plan, with the aim of achieving the highest possible returns. This will enable you to purchase a good pension when the time comes. But the results on the investments may also be lower than expected. The Mars Pension Fund invests in various ways to diversify this risk, so the return on one investment can compensate for a loss on another.

We can also hedge the investment risk. There are other risks that the Mars Pension Fund has to take account of in order to protect your pension as effectively as possible. Read more about the investment policy of the Mars Pension Fund. There you will also read about the specific risks for investing in the ASP plan.

You yourself decide whether to invest your capital in the ASP plan in the Fixed Life Cycle, the Variable Life Cycle or to choose your investments yourself (Self-Directed Investing, or Vrij Beleggen). The Investments Guide (Beleggingswijzer) in the MyMarsPension planner will be a useful tool here. You yourself decide the level of risk that is most appropriate for you, and you are responsible for your decisions and their consequences. A financial adviser can help you make your decision. There may be costs associated with investments.

Price for the purchase of pension

The Mars Pension Fund and insurers base their prices for the purchase of pension on certain important variables, including:

• Interest rates
  The level of interest rates affects the value of pensions. On your retirement date, the Mars Pension Fund and the insurer of your choice will estimate the amount of money they will need to be able to pay your pension. The lower interest rates are, the more money in ‘cash’ will be needed to be able to pay your pension. If interest rates are low on your retirement date, it will be expensive to purchase your pension.
• Life expectancy
  Life expectancy is an estimate of how long your pension will have to be paid. In other words, the period over which your accrued capital will have to be spread. If the average life expectancy of the population increases, pensions have to be paid for longer. When you purchase a pension on your retirement date, the Mars Pension Fund and insurers will base their calculation on the general life expectancy at that time.
• Costs
  The Mars Pension Fund and insurers incur costs for investing your contributions. Some of these costs are deducted from your ASP account.

If you choose a variable pension

If on your retirement date you choose a variable pension, your benefit can be higher or lower each year. Your pension capital will continue to be invested after your retirement date. Your pension benefit will be different each year, because your investment result (or return) will also be different each year. Moreover, interest rates can rise or fall, just like the life expectancy of the Dutch population. All of these factors will influence the amount of your pension in the following year.

If you choose a fixed pension

If you choose a fixed pension, you know where you stand. In principle, you know how much you will receive each month for the rest of your life. But whether your pension is really fixed depends on where you purchase it.

• If you purchase a fixed pension with the Mars Pension Fund
  You can use the capital in your ARP plan to purchase a fixed pension with the Mars Pension Fund. In this case, you know approximately how much you will receive each month for the rest of your life. The amount can only be higher if we are able to increase the pensions in line with prices. It will be lower if we are forced to reduce the pensions. So if you purchase a pension with the Mars Pension Fund, this is known as a stable pension instead of a fixed pension.
• If you purchase a fixed pension with an insurer
  If you purchase a fixed pension with an insurer and you want this pension to increase annually in line with prices, in other words in line with inflation, you should be aware that such an inflation-proof pension is considerably more expensive than a pension that is not inflation-proof. If you do not purchase an inflation-proof pension, your fixed pension will not increase in line with prices and over time the purchasing power of this pension will decrease. Your pension benefit will remain the same, but will actually be worth less.