Page 9 - Seafarers_pension_fund_annual_and_sustainability_report_2023

Review of 2023 Seafarers’ Pension Fund Cash Flows 2023, Million Euros

Decrease in Operating Expenses Financial Sustainability Investment
Compared to Previous Year of the Pension System Activity

In 2023, operating expenses decreased by 5.6% com- The mission of the Seafarers’ Pension Fund is to Returns Expenses
pared to the previous year. The total result of the ensure the pension security of seafarers. We prepare (113.0) (57.6)
Seafarers’ Pension Fund was -12.0 million euros. for the payment capability of future pensions, i.e.,
The solvency capital stood at 638 million euros at the pension expenditure according to the Seafarers’ Employers Insurance Seafarers’ Pensions Pensioners
the end of the fiscal year. The pension assets-to- Pensions Act (MEL), using various sources of funds, Employees Premium Pension (52.2) Operating Expenses
liabilities ratio, or solvency ratio, was 185.8 percent. including employee and employer pension insurance Fund (4.1)
Comparing solvency capital to the solvency limit, it contributions, investment returns, and government State (52.2)
was 3.20 times, indicating an exceptionally strong subsidies. In addition, we participate in the private Government
level. Personnel costs amounted to 2.4 million euros sector pension equalization pool, i.e., cost-sharing, Contribution
in 2023. The largest decrease in investment opera- with other pension insurers operating under the
tion expenses (0.17% of investment assets) occurred Employees Pensions Act (TyEL). Table on the right (62.9)
in purchased services, with the most significant item shows the cash flows of income and expenses in
being legal fees related to previous construction ac- 2023. >
tivities. With the implementation of the Erasmus
system, the focus of expenses has shifted from sys-
tem development to application maintenance.

Cumulative Return MEK and Pension Insurers 1998–2023, % Payment Receivable
(88.3) (122.3)
500
Balancing
450 Seafarers’ Pension Fund System

400

350 TyEL on Average

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100

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Seafarers’ Pension Fund | Annual and Sustainability Report 2023 9