La Cabana Beach & Racquet Club June 22, 2011 at 3:00 p.m. - - PowerPoint PPT Presentation
La Cabana Beach & Racquet Club June 22, 2011 at 3:00 p.m. Agenda Opening and Introduction 1. Approval of minutes GAM 2010 2. 3. Welcome new member companies Financial Performance 2010 4. - M ajor impact - Balance Sheet - Highlights
1.
Opening and Introduction
2.
Approval of minutes GAM 2010
3.
Welcome new member companies
4.
Financial Performance 2010
Pause
5.
M embership
6.
Point of view Actuary: developments
7.
Point of view Actuary: indexation
8.
Proposed change to DB plan
9.
Objectives 2010/ 2011
10.
Free word
11.
Closing
Chairman Chairman
Secretary Secretary
Vice Chair Vice Chair
Pietersz-
Camacho Board member representing Board member representing Employers Employers Board member representing Board member representing Employees Employees
Chrec Aruba Casino N.V. Atlantis Submarines N.V. Lite Life M edicab N.V.
A more recent mortality table. (GBM / GBV 1990-1995).
This adaptation led to significant addition to the provision. (afl. 208,335). By applying these tables the longevity risk for the Fund is greatly reduced.
The provision for disability coverage. Coverage rate is 99.34% (2010: 99.8%).
2010 2009 Change in Afl. Change in % Assets – Receivables & prepaid expenses
278,220 525,278
– Investments
22,608,332 20,694,898 1,913,434 9%
– Fixed assets
65,203 57,135 8,068 14%
– Other (cash and cash equivalents)
4,789,281 3,499,689 1,289,592 37%
Total Assets 27,741,036 24,777,000 2,964,036 12% Liabilities – Accounts payable
227,967 235,931
– Long Term Liabilities
27,152,905 23,927,765 3,225,140 13%
– Fund Capital
360,164 613,304
Total Liabilities 27,741,036 24,777,000 2,964,036 12%
(in thousands)
2010 2009
Change in Afl. Change in %
Net income
266 (519)
Contribution
4,172 3,847 325 8.4%
Investment income
1,349 1,312 37 2.8%
Rental income
162
100.0%
Pension operational costs
706 683 23 3.4%
Total amount of members
2,786 2,662 124 4.7%
Accrued Investment Bonds Time M ortgages Loan Total interest property deposits Afl. Afl. Afl. Afl. Afl. Afl. Afl. 2010 Government 217,991
Financial instituion 205,358
7,085,014 Real estate
Others
Balance as of Dec 31 423,349 3,877,427 9,579,000 6,500,000 1,848,900 379,656 22,608,332 2009 Government 205,932 10,191,500
Financial instituion 187,530
Real estate
Others
Balance as of Dec 31 393,462 2,810,078 10,191,500 6,000,000 1,300,648
Government 43% Financial instituion 32% Real estate 1 7% Mortgages 8%
Government 9,796,991 Financial instituion 7,085,014 Real estate 3,877,427 M ortgages 1,848,900 Total 22,608,332
Active participants Vested participants Annuitants Total amount
2003 1,024 123 1,147 2004 1,041 178 2 1,221 2005 1,238 135 3 1,373 2006 1,516 260 3 1,779 2007 1,736 329 6 2,071 2008 1,822 482 8 2,312 2009 1,967 683 12 2,662 2010 1,992 780 14 2,786
500 750 1,000 1,250 1,500 1,750 2,000 2,250 2,500 2,750 3,000 2003 2004 2005 2006 2007 2008 2009 2010
Total participants
Year Total Contributions Assets Operational Expenses 2003 1,967,165 9,974,272 308,688 2004 2,082,444 12,054,412 347,818 2005 2,164,406 13,527,215 359,435 2006 2,353,175 16,747,427 334,299 2007 2,686,407 19,123,705 492,605 2008 3,488,724 21,187,693 678,194 2009 3,847,457 22,105,379 683,687 2010 4,175,641 27,741,036 706,953
Life expectancy of just-born child Men Women Old assumptions 75.5 years 82.1 years New assumptions 76.6 years 82.7 years
The calculation rate used for the DB plan is conform the set guidelines of the Central bank of Aruba (CBA). It was never the intention to provide indexation for the DB plan. This intention has never been made clear in the Rules & Regulations of the DB Plan. Based on the recommendations of our actuary ,we plan to change article 1 4 of the DB Rules & Regulation PFTSAARR9402 dated April 1 1 , 2002. Article 1 4: Indexation of accrued benefits At the end of each calendar year the Board of the Fund aims to increase the accrued benefit as of that date provided that the previous year operational result is sufficient to do so in relation to the overall financial position of the Fund as of that date. The Board of the Fund will only decide to do so after consulting the Actuary of the Fund. Any increase will be formalized by an indexation in terms of a percentage on the accrued pensions, being the accrued Retirement Pension and the accrued Partner Pension. To change in: Article 1 4: Adjustment of pension rights and pension benefits There will be no adjustments on pension rights and pension benefits. There is no ambition to give adjustments on pension rights and pension benefits. The participant and retirees must assume that they will receive no adjustments.
Method to inform the members of the change: