SWEDEN - Collectum, the online services responsible for pooling money within Sweden's white-collar pension scheme ITP, has extended the period within which people decide where to invest their money because of technical difficulties.

Collectum's site crashed on Monday as thousands of Swedes tried to choose funds before the end of today's deadline.

This period has now been extended to November 1 to ensure people can execute their right to choose.

All those who had not made a choice before the website crashed will be informed about the extension in a letter, Collectum stated in a press release.

Under an agreement reached in July, the ITP pension scheme was switched from defined benefit to defined contribution for white-collar employees born after 1978.

Aapproximately 35,000 workers now have to put 50% of their contributions to the occupational pension scheme into guaranteed insurance products, while they choose to invest the other 50% within a variety of unit-linked insurance products.

They also have the option of putting all into guaranteed insurance products or splitting the second amounts between the two options.

If no choice is made by the pension scheme member, the money goes into an insurance product offered by Alecta, which held the monopoly in managing the SEK20bn a year mandate under the old ITP defined benefit plan for employees born in 1978 and before. (see earlier IPE article: Alecta to lose €772.5m in SAS pension assets).

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