Alvoso pays interest of at least 2% in 2021

In accordance with the decision of the Foundation Board each affiliation will earn interest of at least 2% for the year 2021. Since this is a collective foundation with an individual funding ratio per affiliation, each affiliation itself sets the maximum level of interest possible.

At the Alvoso Pension Fund, each affiliation has an individual funding ratio. This means that the Pension Commission of the insured company can set the final level of interest on its own responsibility. Additional interest is possible and appropriate, in particular if an individual affiliation has paid-in fluctuation reserves as well as free funds.

A minimum level of interest for all affiliations has already been set by the Foundation Board at its meeting on 27 October 2021, and depends on the annual performance of the investment. With a return of more than 8.5% in the 2021 investment year , this minimum interest rate for all insured persons is 2.0 percent. Interest is granted on an envelope basis as usual. This means that it is granted equally for both the statutory minimum benefits and for non-compulsory credit balances.

A large number of affiliations to the Alvoso Pension Fund attract a funding ratio of over 120%. In this area, the Pension Commissions of the individual companies can decide for themselves whether they want to grant an even higher level of interest on credit balances in addition to the 2% already granted.