AMF Pension sacks senior executive

AMF Pension sacks senior executive
The vice-CEO at Swedish pensions firm AMF Pension, Ingvar Skeberg, has been sacked after revelations of malpractice.

Before the firm announced payment cuts to pensioners, Skeberg used his access to the information to move his own pensions savings.

“Regrettable,” Skeberg told news agency TT.

“The board considers what has happened to be very serious and gave the CEO Ingrid Bonde instructions to act accordingly,” said board chairperson Göran Tunhammar in a company statement.

The revelations emerged as a result of an internal investigation, AMF Pension reports.

“With prior knowledge of the payment cuts one of the firm’s senior management moved his savings from the traditional insurance fund and thereby protected his capital. He informed the CEO of his actions yesterday.”

Ingvar Skeberg has responded to the criticism.

“The details are in principle correct, although I would like to underline that I acted in good faith,” he said to news agency TT.

According to Skeberg moving the savings last autumn was not in breach of the law, a fact confirmed by Ingrid Bonde.

“The reason for this is that I based my decision on information available in public documents. Naturally I should have considered the moral aspects. But I did not and that is regrettable,” said Skeberg.

AMF Pension announced in February that it planned to cut dividend rate payments to its pensions savers, the first Swedish pensions firm to do so.

The decision resulted in cuts in the pensions of those already in retirement but does not affect the 2.5 million customers of AMF Pension’s traditional pensions products.

AMF Pension’s solvency ratio amounted to 99 percent at the end of December and had by the end of January declined to 96.2 percent. It is now back at 105 percent.

A solvency ratio of 100 means that a pensions firm is able to meet its obligations to savers.