In view of the recent evolution of the Luxembourg general pension insurance scheme and the latest political, economic and financial developments, FDC considered it appropriate to review in the course of 2025 its investment strategy implemented in 2023.

As this analysis concluded that the current strategy remains sufficiently diversified and in line with return and risk expectations, it was decided to make only minor adjustments.

These include a reduction in the strategic allocation to direct real estate in Luxembourg from 5% to 3%, offset by a 1% increase in the EUR denominated bond asset class and a 1% increase in the global equity asset class.

This reallocation has no impact on the overall risk budget. However, due in particular to the rise in interest rates, the target return of the revised strategy is now estimated at 4.94%.

The revised strategy was incorporated into FDC’s directive concerning the principles and rules of asset management, which was duly approved at the end of February 2026 by the Minister of Health and Social Security. The directive can be downloaded here.