Groupe Mutuel Prévoyance

Activity Report 2023

Editorial

2023: a year of change

In an environment of transformation for occupational pension benefits (2nd pillar), Groupe Mutuel Prévoyance-GMP experienced an eventful year in 2023. Innovation and the drive for growth were the driving forces behind our activities in a favourable environment.

In 2023, the Foundation Board decided to reform the structure of the foundation, which was transformed into Fondation Collective Groupe Mutuel on 1 January 2024. Existing contracts were grouped together within the joint fund Groupe Mutuel Prévoyance-GMP. All rights and obligations, as well as the assets with a cover ratio of 109.2%, were taken over unchanged by the new entity. This transformation will be completed in 2024 by a merger with Fondation Collective Opsion.

IT at the service of the customer experience
An ambitious project was carried out in 2023: the upgrade of our IT application within only 12 months. On 3 January 2024, the new IT application was available, without any interruption to services, both for internal management activities and for our customers, whose access to information via the LPP/BVG portal is now greatly improved.

In the course of 2024, an environment designed for insured persons will be made available, with the possibility of individual access to current and future insured benefits at any time.

Administration of the pension fund

2023, a historic year in commercial terms

Sales growth was strongest in German-speaking Switzerland, where contracts representing CHF 6.7m in new premiums were concluded, compared with CHF 6.6m in French-speaking Switzerland. It’s pleasing to note that SMEs of all sizes and from all language regions have applied to become members of the Foundation. The range of products and services on offer is therefore perfectly suited to the Swiss economy, and reinforces the Foundation’s national dimension.

Adjustment of conversion rates
From 1 January 2025, a uniform conversion rate, applicable to total assets, will come into force for calculating retirement pensions. Set at 5.6% for men and women at age 65, it will make the calculation of retirement benefits more transparent. In all cases, the total pension paid will be at least equivalent to 6.8% of the minimum LPP/BVG assets.

Investment activities

The management of different types of assets in 2023 provided a return on equity of 4.99% net of fees. The benchmark index was 5.72% (excluding fees) and the UBS LPP index 4.95%.

ESG - Sustainable and responsible investments
In 2023, we continued and strengthened our measures for positioning assets from an ESG perspective. The annual audit by Conser - ESG verifier SA, an independent expert, confirmed the A rating awarded in 2022, with the benchmark remaining at B+.

Sustainable and responsible investments

Groupe Mutuel Prévoyance-GMP’s ESG policy was implemented three years ago. The year just ended saw a continuation and reinforcement of measures relating to the ESG positioning of assets. The annual audit by Conser - ESG verifier SA, an independent expert, confirmed the rating awarded in 2022: GMP retained an A for its overall portfolio (the rating scale ranging from A+ to D, with the benchmark remaining at B+).

The ESG quality of the portfolio has remained stable with an overall rating of A, the second highest achievable (on a scale from D to A+), while the benchmark is rated B+. The proportion of issuers rated with a positive consensus, according to the methodology used by our external auditor Conser - ESG verifier SA, remained constant at 86%, compared with 79% for the index. The relative weighting of issuers rated with a very positive consensus on their management of sustainability issues increased to 26%, compared with 22% the previous year.

Key figures

2023

Balance sheet total 2023 (in CHF thousand)

Number of employers affiliated to GMP at 31.12.2023

Number of persons who contributed during the 2023 financial year

0,99%

Investment performance in 2023

0,17%

Coverage ratio for GMP in 2023

Remuneration interest for 2024 (0.75% more than the statutory minimum rate)