Nordea pension funds

Nordea is a recognised provider of pension insurance in the Nordic countries. In Estonia too, our services have earned a flawless reputation for delivering outstanding results. With Nordea you can invest in both mandatory funded pensions (II pillar) and voluntary pension funds (III pillar).
Nordea pension funds are actively managed on a daily basis so that we can find the best ways to increase your assets as a pension saver and hedge against risks. Our approach at Nordea is not based on sectors or regions, we invest the assets of the funds where we see the best opportunities.The success of Nordea pension funds is based on four principles that we apply in our day-to-day operations:
  • Liquidity: all the assets in the pension funds must be tradable so that we can assess their current value and how it changes over time, and their share in the fund’s total investments. We must be able to dispose of unprofitable investments quickly.
  • Hedging against risks: by diversifying our investments across different asset classes, regions, economic sectors and companies and by making our asset allocations at different times, we can minimise the impact of any single decision on the entire fund. This gives us stability and means we can profit from positive trends in many different regions and businesses.
  • The fund of funds principle: no-one can be the best investor in the world in every asset class in every continent at every moment. If you want the best results, the smartest move is to use the know-how and experience of the best fund managers around the world.
  • Cost management: costs are an important consideration in investment as they directly affect the growth of the pension assets. The current financial market has a wide range of advantageous and cost-effective instruments, such as tradable index units. Before we invest your pension fund assets, Nordea always carefully considers using a low-cost index that tracks the fluctuations of the market, or an actively managed investment fund with a manager that might beat the index. What’s important is the right balance between profit and costs.


By following these simple principles, Nordea offers effective and highly competitive pension funds.

There are several good reasons for investing in a Nordea pension fund.
  • Nordea is the biggest bank in the Nordic countries and was named the best bank in Estonia in 2013. When we invest pension assets we use all the long experience of the Nordea Group to provide equally high standards for all our customers.
  • Our interaction with our customers is simple and honest. The logic we use to run our pension funds is simple, so it is easy to follow where and how our funds invest your assets. The transparency of our funds is underpinned by public reporting.
  • Nordea pension funds have earned a flawless reputation and our customers need never worry about their choice of pension fund because we have a great record of fulfilling their expectations.
  • The results speak for themselves. The outstanding results we deliver mean that Nordea is the trusted choice of an increasing number of customers. The trust of our customers is extremely important to us.

Pension Fund A Pluss is Nordea’s most aggressively managed II pillar fund. We recommend this fund for people who will be saving for their pension for more than 20 years, and who can tolerate possible short-term falls in value for their assets to allow potentially higher returns over the longer term despite short-term fluctuations.

A Pluss invests up to 75% of the fund’s assets in equities and assets of similar risk. The remainder is invested in bonds, deposits and similar instruments. If it is necessary and the market situation calls for it, the fund may also invest 100% of its assets in bonds or deposits so as to maintain the value of the assets even during difficult times.

The fund aims for a return that exceeds inflation in the long term. The fund is well-suited for long-term saving because short-term fluctuations in the stock markets have no major impact on the final result.

Pension Fund A is Nordea’s most popular II pillar fund. It is not as aggressive as Nordea pension fund A Pluss, but it still has an above-average risk level. We recommend this fund to people who will be saving for a pension for over 10 years, and who can tolerate possible short-term falls in value for their assets to allow potentially higher returns in the longer term despite short-term fluctuations.

Pension Fund A invests up to 50% of the fund’s assets in equities and assets of similar risk. The remainder is invested in bonds, deposits and similar instruments. If it is necessary and the market situation calls for it, the fund may also invest 100% of its assets into bonds or deposits so as to maintain the value of the assets even during difficult times.

The fund aims for a return that exceeds inflation in the long term. The fund is well-suited for long-term saving because short-term fluctuations in the stock markets have no major impact on the final result.

Pension Fund B is Nordea’s fund with a below-average risk level. We recommend this fund for people who will be saving for over 3 years, and who wish to increase the value of their pension assets without risking any significant negative impact for their savings.

Pension Fund B invests up to 25% of the fund’s assets in equities and assets of similar risk. The remainder is invested in bonds, deposits and similar instruments, so the higher-risk and low-risk markets balance each other so that the overall risk level is moderate. If it is necessary and the market situation calls for it, the fund may also invest 100% of its assets in bonds or deposits so as to maintain the value of the assets even during difficult times.

The fund aims for a return that exceeds inflation in the long term, balancing the risks and fluctuations of various markets. The fund is well-suited for saving over a long or medium-term time horizon.

Pension Fund C is the Nordea pension fund with the lowest risk level. We recommend this fund to people who will be saving for less than 3 years, and who consider protecting their pension assets to be more important than increasing their value.

Pension Fund C only invests in high-quality bonds, deposits and similar instruments, meaning it avoids larger short-term fluctuations. If interest rates are high, the fund may also invest most of its assets in deposits to avoid exposure to any falls in the bond markets.

The fund aims to maintain the value and stability of the invested assets. The fund is very well suited for those who wish to protect their pension assets from possible falls in value. However, if you want to increase the value of your assets, we recommend funds that invest in assets that have higher risk and potentially higher returns.

III pillar pension funds offered by Nordea are special. Nordea Bank has a unique system of unit issue fees that varies with how much you invest. If your total investment exceeds 2,000 euros, the fee will only be 0.5% starting from the next calendar year. When you have 10,000 euros, there will no longer be any issue fee.

  • Supplementary pension funds are the best way of saving as they can be adjusted very flexibly to suit your individual options and needs.
  • Even if you are not going to use it to supplement your monthly state pension, you can use the money you have saved to improve your living standards. You can access the money you have saved in a III pillar pension fund at any time. However, if you have turned 55 and have been investing in the III pillar for at least five years, additional tax incentives will apply on payments from the III pillar.
  • The III pillar of the pension scheme is the best way to save over a long period of time, because the state will refund the 20% income tax from all contributions up to 15% of your gross annual income (to a maximum of 6,000 euros).
    So if you pay in 100 euros each month for one year, the state will refund you 240 euros the following spring.
  • You can start using the money you have built up in your voluntary pension fund even before you actually retire.
  • This is not a retirement pension in the most conventional sense, but a considerably wider way to invest money for the future well-being of your family.

Pension Fund Equity 100 is the most actively managed of the Nordea pension funds. We recommend this fund for people who will be saving for a decade or more, and who can tolerate a possible short-term fall in value for their assets to allow higher returns over the longer term despite short-term fluctuations.

Equity 100 can invest all its assets in equities and other assets of similar risk. If it is necessary and the market situation calls for it, the fund may also invest 100% of its assets into bonds or deposits so as to maintain the value of the assets even during difficult times.

The fund aims for a return that exceeds inflation in the long term. The fund is well-suited for long-term saving because short-term fluctuations in the stock markets have no major impact on the final result.

Pension Fund Interest Pluss by Nordea has a below-average risk level. We recommend this fund for people who will be saving for over 3 years, and who wish to increase the value of their pension assets without risking any significant negative impact on the value of their savings.

Interest Pluss invests up to 20% of the fund’s assets in equities and assets of similar risk. The remainder is invested in bonds, deposits or similar instruments, so the higher-risk and low-risk markets balance each other so that the overall risk level is moderate. If it is necessary and the market situation calls for it, the fund may also invest 100% of its assets in bonds or deposits so as to maintain the value of the assets even during difficult times.

The fund aims for a return that exceeds inflation in the long term, balancing the risks and fluctuations of various markets. The fund is well-suited for saving over a long or medium-term time horizon.

The prospectuses 

The prospectuses cover the main operating principles of our funds and provide guidelines for deciding whether a fund is right for you.

II pillar

III pillar

 

Terms and conditions 

The terms and conditions of the fund serve as an official document giving the aims and risk level of the fund, its operating principles, and all the rights and obligations.

valid from 01.01.2016
Nordea Pensionifond A PlussPDF (in Estonian)
Nordea Pensionifond APDF (in Estonian)
Nordea Pensionifond BPDF (in Estonian)
Nordea Pensionifond CPDF (in Estonian)

 

III pillar
Pensionifondi Aktsiad 100 tingimusedPDF (in Estonian)

Pensionifondi Intress Pluss tingimusedPDF (in Estonian)

Pension funds *
III pillar pension funds
Purchase of units Intra-bank payment fee
Purchase of units by standing order Standing order fee
Sale of units 3.20 €
Exchange of units Free
Transfer of units from another bank Free
II pillar pension funds, i.e. mandatory funded pension

Contributions

  • Choice application
  • Application for changing the units of a pension fund
  • Fee for enquiry in a branch office

 

  • Free
  • Free
  • 1 € /per page

Pension account statement

  • by e-mail
  • by post

 

  • Free
  • 3 €

Succession

  • An application to sell inherited pension fund units
  • An application to transfer inherited pension fund units into the pension account of the inheritor

 

  • 22 €
  • 6 €

Payments

  • An application for a lump sum payment from a pension fund
  • An application for a fund  pension
  • An application to change a fund pension

 

  • 3 €
  • 5 €
  • 5 €

 

* Transactions with pension fund units incur subscription and redemption fees stated in the relevant fund's prospectus