Investment strategy

The ABP investment strategy contributes to the ambition of the pension fund: an attractive, affordable pension that follows the developments of the salaries in government and education to the highest possible extent. The investment result is primarily determined by the strategic basic principles of the investment policy. ABP therefore attaches great value to communicating about these basic principles.

ABP makes a strategic investment plan every three years. This outlines the objectives for the ABP administration agency that manages the investments. The distribution across the key investment categories is crucial, as this is ninety per cent decisive in respect of the return that can be achieved with investments. ABP’s long-term intention with the strategy is to achieve an average return of seven per cent on an annual basis. The basic principles used by ABP when executing its investment policy are recorded in the Statement of Investment Principles.

ABP takes ESG factors into account when executing the investment policy. ESG stands for Environmental, Social and Corporate Governance. This relates to environmental, social and administrative factors. ABP believes that companies with strategies that focus on environmentally-friendly, social and administrative aspects in addition to the financial aspects will perform better in the long-term.

ABP reports annually on the executed ESG policy in the Responsible Investment Report.