mast image

Special Report

Impact investing


Belgium fills OFP gap

BELGIUM - The CBFA, Belgium's pension regulator, has finally clarified its position on solvency for the new OFP pension vehicle - so far a ‘missing link' in the legislation.

A CBFA spokesman told IPE today his organisation earlier this month communicated its stance on solvency requirements for OFPs (organisations for financing pensions) - a new legal structure introduced this year to spearhead Belgium's push to become a pension domicile under the EU's pension directive.

The spokesman stressed no changes have been made to the current legislation, and the regulator merely held a seminar to clarify the legislation to fund.

However, pension expert Karel Stroobants commented to IPE last month the CBFA's interpretation of the solvency requirements under the legislation were unknown to the sector and this was seen as a hindrance for social partners who might decide taking their pension fund to Belgium.

"We all missed the interpretation of the CBFA, that was a problem," he said today, adding that the regulator's clarification is welcome news.

"The usual interpretation in the market, the guarantee which has been outlined in the Belgian legislation, was very strict, and this was never the intention of the legislation [in terms of the OFP]," said Strootbants.

Under the OFP, pension funds will decide their individual financing and funding rules on the basis of their own ALM, and calculate the necessary buffer.

If you have any comments you would like to add to this or any other story, contact Carolyn Bandel on +44 (0)20 7261 4622 or email

Have your say

You must sign in to make a comment


Your first step in manager selection...

IPE Quest is a manager search facility that connects institutional investors and asset managers.

  • QN-2558

    Asset class: Private Equity.
    Asset region: Global or Swiss.
    Size: USD $5-10m.
    Closing date: 2019-08-20.

  • QN-2559

    Asset class: Multi Assets.
    Asset region: -.
    Size: EUR 15m (may be split into two mandates EUR 7.5m).
    Closing date: 2019-09-06.

  • QN-2560

    Asset class: Private Equity.
    Asset region: Global.
    Size: $40m.
    Closing date: 2019-08-30.

  • QN-2561

    Asset class: Infrastructure.
    Asset region: Global.
    Size: $40m.
    Closing date: 2019-08-30.

Begin Your Search Here