The Pension Fund recorded a good result of +4.3% for the year, outperforming the UBS pen-sion fund barometer figure of +3.8%
The Pension Fund recorded a good result of +4.3% for the year, outperforming the UBS pen-sion fund barometer figure of +3.8%. The Fund has beaten this index nine times in the past ten years.
Details of Investment Performance
The market collapse in March 2020 resulted in a markedly negative performance for a time, coupled with a decline in the cover ratio to around 107%. Despite this turbulence, the Board of Trustees remained true to the long-term investment strategy, even increasing some equity holdings for tactical reasons. In hindsight, it was a good decision.The most heavily weighted asset class, Swiss real estate, also turned in the best performance, at +7.7%. This gratifying result was the product of several factors: rental income and upward revaluations owing to a lower discount rate, but also the sale of a property in Schlieren, and the first-time appraisal of the Moosaic construction project in Emmen. Foreign and Swiss equi-ties were also well into positive territory, at +7.2% and +5.1% respectively. At -5.4%, interna-tional real estate was the back marker. Around 15% of total assets is invested in USD, the weakness of which trimmed approximately one percentage point off performance overall.
The cover ratio rose from 115.2% to approx. 118% over the year. It is thus within its target bandwidth of 116–124%.