The percentage of the salary that you accrue each pension year in the form of pension entitlements.
The contribution established to finance the costs of the pension scheme. These are annual costs required to finance pension entitlements accrued during the year in question.
Actuarial and Operating Memorandum (ABTN)
(Actuariële en BedrijfsTechnische Nota, ABTN). A document produced by the Board establishing the Funding, Indaxation and Investment policies of the Pension Fund.
AFM : Authority of Financial Markets (Autoriteit Financiële Markten).
One of AFM's tasks is supervising the provision of information by pension administrators. This supervision is laid down in the Pensions Act.
AOW : See: General Old Age Pensions Act
AOW age : The age at which you receive AOW for the first time. The maximum Statutory retirement age is 67 according to the General Old Age Pensions Act as is applicable to your retirement date.
Anw : See: Survivor's Benefits Act
The resources (the financial capital and the value of the investments) that the Pension Fund has available to meet its liabilities.
AvA (Algemene vergadering van Aandeelhouders)
The General Shareholders’ Meeting.
An objective criterion, e.g. a stock exchange index, that the Pension Fund can use to compare the performance of its investments.
Certificate of life
A certificate stating that you are alive.
Company pension fund
A pension fund associated with an individual company and not with a sector of trade and industry.
Consumer Price Index (CPI)
Also referred to as the price index for all households. Figure that represents the average price movement of a package of goods and services purchased by households for consumption. Expenditure relating to healthcare insurance, income tax or social security contributions does not form part of this package.
On your retirement date you can exchange some or all of your partner’s pension for a higher retirement pension, or vice versa; this is known as exchange or conversion.
Sound management practice. In the Netherlands, rules have been laid down for this in the Netherlands Corporate Governance Code, also referred to as the ‘Code Tabaksblat’.
By hedging against the risks associated with foreign-currency exchange rates, the Pension Fund ensures that fluctuations in the values of these currencies against the Euro have no effect on the value of the Pension Fund’s investments.
Deferred entitlement holders : See: Former Participant.
A pension that is no longer accruing and for which you are not paying contributions, for example if you have left Shell service. You are eligible to receive the pension that you accrued until that time. The pension will not be paid until your retirement age.
See also: non-contributory entitlements
Derived consumer price index
The Consumer Price Index (CPI) reflects the price development of a package of goods and services, as they are generally purchased by households in The Netherlands. Not all cost components are included in the package, e.g. income tax, social security contributions and healthcare expenses. The Derived CPI reflects the regular CPI, without the developments indirect taxation (e.g. VAT and excise on alcohol and tobacco) and subsidies. Statistics Netherlands calculates and publishes the Derived CPI on a monthly basis.
Disability pension / Disability
The pension that you as a participant receive if you become disabled.
You are deemed to be disabled if, in the opinion of the Pension Fund, you are unable, due to sickness, deficiency, pregnancy or confinement, with little likelihood of recovery, to earn more than 20 per cent of the salary that healthy persons with similar qualifications and experience generally earn.
Disablement Benefits Act (WAO)
The Disablement Benefits Act (Wet op de ArbeidsOngeschiktheidsverzekering, WAO). Replaced by the Work and Income according to Labour Capacity Act (Wet Werk en Inkomen naar Arbeidsvermogen, WIA) with effect from 1st January 2006.
DNB : The Netherlands National Bank (De Nederlandsche Bank).
One of DNB’s tasks is supervising the operations of pension funds in line with the provisions as laid down in the Pensions Act.
This is you if you are in the service of or associated with the organization of an employing company.
This is a company that has joined the Pension Fund.
The partner with whom you live together, and with whom you have concluded a cohabitation agreement before a civil-law notary and who you have enrolled in the Pension Fund as your partner’s pension beneficiary.
On your retirement date you can exchange some or all of your partner’s pension for a higher retirement pension, this is known as exchange or conversion.