Return on investments of the State Pension Fund of Finland 9.3% in 2025; ten-year average return 5.9%

Press release 12 February 2026

The market value weighted return on the investments by the State Pension Fund of Finland (VER) reached 9.3 per cent in 2025 (9.0 per cent in 2024). The real rate of return was 9.1 per cent (8.2 per cent in 2024). 

VER primarily seeks a long-term return sufficient to finance the state pension system. VER’s average nominal rate of return over the past ten years is 5.9 per cent and real return 3.8 per cent. The average nominal five-year return is 6.5 per cent and real return 3.0 per cent.

At the end of 2025, the market value of the Fund’s assets amounted to EUR 25.8 billion (EUR 24.2 billion in 2024). Of all the investments, fixed income instruments accounted for 39.2 per cent, equities 55.6 per cent and other investments 7.9 per cent of the total. The rest of the effect of risk-adjusted allocation was due to derivatives.

VER’s two largest asset classes, liquid fixed income investments and listed equities, gave positive returns in 2025. The return on liquid fixed income instruments was 4.3 per cent and that of listed equities 15.4 per cent. Of the other asset classes, the best performance was put in by non-listed equities at 28.6 per cent, as well as hedge funds and systematic strategies at 11.3 per cent.

“For investors, 2025 was a good year. While economic and geopolitical uncertainties persisted, ultimately the investment market performed well across all asset classes. Share prices developed exceptionally well during the year, with listed shares yielding returns of over 15 per cent,” says CEO Timo Löyttyniemi.

“At times, US customs policy and tariff negotiations were important drivers in the market, but relaxed monetary policy provided sufficient momentum for the market,” Löyttyniemi notes.

“As a result of sound returns, VER’s funding ratio reached 26.5 per cent. However, the decisions made at the Government’s mid-term economic policy review and budget negotiations will undermine VER's risk-bearing capacity and postpone the schedule for greater risk-taking,” says Löyttyniemi.

The role of the State Pension Fund in equalising the government’s pension expenditure continues to grow. In 2025, the State’s pension expenditure totalled a little over EUR 5.6 billion. As VER contributes 42 per cent towards these expenses to the government budget, the transfer to the budget amounted to approximately EUR 2.4 billion. VER received approximately EUR 1.7 billion in pension contributions during 2025.

At the end of 2025, the State’s pension liabilities amounted to EUR 97.8 billion, while the funding ratio was 26.5 per cent. The Financial Statements will be adopted by the Ministry of Finance in April 2026.

The Annual Report of the State Pension Fund of Finland is available at www.ver.fi.

Additional information: VER’s Chief Executive Officer Timo Löyttyniemi, firstname.lastname@ver.fi, tel.: +358 (0)295 201 210.

Established in 1990, the State Pension Fund of Finland (VER) is an off-budget fund through which the State prepares to finance future pensions and equalise pension expenditure. VER is an investment organisation responsible for investing the State’s pension assets professionally. At the end of 2025, the market value of the Fund’s investment portfolio stood at EUR 25.8 billion.