The Danish Financial Supervisory Authority has reviewed the pricing of market rate pension products and found that pension companies’ current use of discounts is generally neither unreasonable nor contrary to conduct and product governance rules. Companies must continue assessing whether their pricing is fair, provides value for money and avoids adverse effects for customers. The review found that companies generally apply the same standard price to customers of the same age, while prices for lifecycle products decline as customers approach retirement and investment risk is reduced. Discounts are offered to some groups, particularly employees of large companies where economies of scale are available. Companies must ensure that these discounts do not result in unreasonable prices for other customers.
2026-09-24Danish Finanstilsynet
Danish Financial Supervisory Authority finds pension companies’ discount pricing generally reasonable and compliant
The Danish Financial Supervisory Authority found that pension companies’ discount structures for market rate products are generally reasonable and compliant with applicable rules. Companies must continue monitoring pricing to ensure value for money and prevent discounts for some groups from producing unreasonable prices for others.