SEB once again lowers pension fund management fees and brings pension funds with a greater potential rate of return to market

September brings new investment opportunities for SEB’s private pension savers.

‘First, we are using the opportunity afforded by law and raising the maximum stock percentage in the passively managed SEB Pension Fund Index 100 from the current 75% to 100%. The real result of this change is that the SEB Index Fund will be able to reap the full benefit from the potential rate of return offered by the world’s stock markets. Naturally, the fund’s risk level will also increase with the expected rated of return, but on the other hand the SEB Index Fund continues to offer the client a passive pension with the lowest administrative fee and total cost in Estonia,’ said Endriko Võrklaev, Fund Manager for SEB Varahandlus.

SEB will also be starting up an entirely new, actively managed, second pillar fund – SEB Pension Fund Index 100 – which will allow for one’s entire portfolio to be invested in stock markets and other asset classes with a higher potential rate of return. The actively managed SEB Pension Fund 100 differs from the passive fund SEB Pension Fund Index 100 in particular through tactical changes and more interesting asset classes (including attractive regional investment opportunities) and possibilities for inclusion.

‘In addition to these changes, SEB will be lowering the management fees for SEB Optimal Pension Fund, SEB Progressive Pension Fund and the SEB Energetic Pension Fund. This will be the second time this year that we have lowered the costs associated with the administration of pension funds for pension savers,’ added Võrklaev.