Regulatory Alerts2024-10-08
Supplementary Decree on Indexation and Bridging Plan: Supervisory Report
The Dutch Authority for the Financial Markets (AFM) issued a supervisory report in October 2024 evaluating pension funds' communication regarding the application of relaxed indexation rules and the submission of bridging plans. While improvements were noted, the AFM found that information about negative consequences and risks often fails to reach participants, with many funds burying critical details in deeper website layers or failing to actively notify all members. The regulator urges pension funds to embed transparency and explainability into decision-making, ensure all participants are actively informed of available information, and present a balanced view of risks and benefits across all communication layers.
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