Solid growth for Norway’s local government and health sector pension assets

This is an improvement on the same period last year, when KLP delivered a return of 4.2 per cent. 

“This represents an important contribution to profits and lower pension costs for our customers in Norway’s local government and health sectors,” says CEO Sverre Thornes.

KLP is a mutual insurance company in which the value created benefits its customers. At the end of the second quarter of 2024, the Group’s total assets were NOK 1,079 billion, an increase of NOK 123 billion compared with the same period last year. 

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Climate-friendly ownership
KLP has committed to complying with the Paris Agreement and updated its climate strategy in the second quarter with specific targets for the short, medium and long term.

“KLP’s goal is to increase its climate-friendly investments by a further NOK 6 billion each year, and we are always looking for good investments.”

KLP has also participated in 5,300 general meetings so far this year, in Norway and around the world, in order to influence the companies’ views on sustainable initiatives.

“We have supported a number of shareholder proposals related to topics such as climate lobbying, due diligence on human rights and climate transition plans,” says Thornes. 

Taking the pulse of Norwegian working life 
KLP’s annual report on working life was released in the summer and looks at whether Norway’s local government and health sectors are ready for new pension rules. KLP also shares insights into participation in the labour force, retirement patterns and disability withdrawals in relation to employees in Norway’s local government and health sectors. For example, 45 per cent of employers state that they have no plan for retaining and further developing older members of their workforce.

“The report provides important insights for our owners, and is especially relevant now given that new pension rules will come into effect from the New Year for those born in 1963 and later,” says Thornes. 

Key figures

• The return on pension assets in the common portfolio was 1.5 per cent for the second quarter and is 4.6 per cent for the year to date. 
• The Group’s solvency margin amounts to 283 per cent.