For its 150th anniversary year, Pax is focusing on proximity, innovation and a clear commitment to the second pillar. The focus is on a growing pension product, new service approaches and the balance between returns and security. The open day offered a glimpse behind the scenes at Pax.
The event deliberately showcased more than just products: It brought brokers, management and office staff together. After all, pension provision remains a “people business” not only in sales, but also in internal processes. The direct exchange should make processes easier to understand and deepen cooperation.
Growth and more attractive conditions
As Nicolas Ketterer, Head of Product Management BV at Pax, explained, the hybrid solution “DuoStar” has developed strongly in five years: over 2,000 insured persons, stable key figures and a healthy portfolio. This basis now allows for significantly more attractive pricing, which in many cases is up to 20 percent cheaper.
At the same time, the central advantage of this combination of partial autonomy plus full insurance remains: The combination of market opportunities and security. Around half of the retirement assets remain guaranteed, while the remainder participates in the capital market.
More flexibility in risk assessment
As the Balance Collective Foundation matured, the acceptance guidelines were also relaxed. A stable age structure now makes more possible, especially for older insured persons. This is supplemented by a new surplus model, which enables higher interest rates with good risk experience.
Security as a strategic decision
The Managing Director of the Balance Foundation, Lien Nguyen, focuses on an often underestimated topic: the fluctuation reserve. It acts as a financial buffer against market fluctuations and plays a key role in determining the stability of a pension fund.
The decisive factor here is not only the mathematics, but also the Board of Trustees’ need for security. Factors such as age structure, cash flow and flexibility determine how well a fund can recover after a crisis. In the case of Balance, this leads to a moderate target coverage ratio of around 113% despite a relatively high equity allocation, and is a deliberately chosen middle ground between risk and stability.
The long term beats volatility
When asked about market fluctuations, the message remains clear: pensions are a long-term business. Short-term volatility, as is currently being observed, is priced in. The ability to recover is crucial. For policyholders, this means one thing above all: capital saved remains protected, even in turbulent phases.
Service as a differentiating factor
In addition to products, the focus is increasingly shifting to service. Digital tools, portals and new offerings such as personnel orientation are intended to make pension provision easier to understand and relieve the burden on brokers. At the same time, a look at customer service shows that speed, availability and direct communication are being deliberately expanded as a competitive advantage.
Individual employees were introduced on a tour of individual offices and shown what they do on a daily basis. It was a welcome opportunity for the brokers present to meet the faces behind the names.
AI as the next development step
Artificial intelligence is also finding its way into the world of pensions. From analyzing complex dossiers to providing support in advisory services, it is of great benefit. However, the key finding is and remains that it is not the technology alone that is decisive, but its interaction with human expertise.
Three clear messages at the end
To conclude, Peter Kappeler, CEO, emphasizes three points: Brokers remain the most important sales channel, the second pillar is the core business and continuous investment in systems, processes and products should further strengthen competitiveness.
The direction is clear: pension provision is becoming more digital, but remains one thing above all: a business of trust between people.
Binci Heeb
Read also: Pax arranges succession at the top strategically and with foresight
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