PensionDanmark announced a long-term successor to Torben Möger Pedersen, who is leaving as chief executive officer after 30 years – though it will be more than a year before the appointee actually takes over.

Peter Stensgaard Mørch, currently head of department in Denmark’s Finance Ministry, is to join the DKK310bn (€42bn) pension fund’s management on 15 August this year, and progress to become CEO a year later, the pension fund said today.

The delayed succession plan gives the pension fund time to train the top civil servant up in financial management and satisfy the fit-and-proper criteria required by the Danish Financial Supervisory Authority (FSA) for leaders of financial institutions.

Möger Pedersen, whose forthcoming retirement was announced last month, is to step down on 1 October, according to the statement today, at which point the current chief investment officer Claus Stampe will take over as CEO.

Lars Sandahl Sørensen, chair of PensionDanmark’s board, said: “We are pleased to be able to present Peter Stensgaard Mørch as the future figurehead of PensionDanmark.

“He brings unique experience from the management of important social institutions across economics, finance, the labour market and welfare,” he said.

When he joins PensionDanmark, Stensgaard Mørch will be given the title of deputy CEO, and focus in the first year on the day-to-day operating model PensionDanmark, for example, by participating in central committees within the company, the firm said.

This will be supplemented by intensive training in areas that are important to PensionDanmark’s business model, the pension fund said.

“Both focus areas are in accordance with fit-and-proper legislation,” PensionDanmark said.

Sandahl Sørensen said: ”We have found the right model, where Peter Stensgaard Mørch gets time to gain a broad insight into PensionDanmark, while at the same time the operation is in the safe hands of Claus Stampe together with the other group of directors.”

He said Stensgaard Mørch was “passionate about making a difference”, and had the ability to succeed like few others.

It was “a perfect match for an innovative and ambitious social actor and welfare company like PensionDanmark,” the chair said.

Stampe has 20 years’ experience in PensionDanmark’s executive group and has been in the financial sector for longer than the pension fund has existed, he said.

Stensgaard Mørch said: “I’m looking forward to gaining new insights and new challenges, and I’m looking forward to bringing my experience from the public sector into play in a company with such large contact surfaces with society.”

Read the digital edition of IPE’s latest magazine