Ilmarinen’s return on investments was 5.3 per cent, or EUR 3.5 billion, and solvency strengthened

“Ilmarinen enjoyed strong development in January–June. Our return on investments was 5.3 per cent. Our solvency ratio also strengthened, and our cost-effectiveness is at a good level. Customer acquisition in the early part of the year was at an exceptional level,” says Mikko Mursula, President and CEO of Ilmarinen.

The market value of investments grew to EUR 70.4 billion

The market value of Ilmarinen’s investments was EUR 70.4 billion at the end of June (EUR 67.5 billion at the end of 2025). In January–June, the return on investments was 5.3 per cent (2.1). The return on investments was mainly generated by listed equity investments, which produced excellent returns. 

“The first half of the year is marked by several geopolitical events and developments. Despite the uncertainties related to inflation and interest rates, the performance of the business economy has been strong and the returns on the stock market have been good. Strong investments in AI will start to have a wider impact on the economy,” says Annika Ekman, EVP of Investments at Ilmarinen.

Ilmarinen’s return on equity investments was 8.3 per cent (1.5) and the return on fixed income investments was 1.2 per cent (2.9). The return on real estate investments was 0.3 per cent (0.4) and the return on other investments 3.4 per cent (4.4).

Long-term returns are at a good level. The long-term average return on investments since 1997 was 6.0 per cent, which corresponds to a real return of 4.1 per cent. Ilmarinen’s investments have generated a total of EUR 32.0 billion since 2017.

Share of equity investments grew to 62 per cent

The pension reform will give employment pension insurance companies more risk-taking opportunities and make it possible to increase the proportion of shares in the investment portfolio. The first phase of the investment regulation reform entered into force at the beginning of July. The remaining changes will enter into force gradually.

“Pension assets must continue to be invested in a productive and safe manner. However, increased risk-taking leads to greater than usual fluctuations in returns on investments. At Ilmarinen, we have been carefully preparing for the reform for a long time. We have increased the share of equity investments in the risk distribution of our investments from 54 per cent to 62 per cent during the first half of the year,” Ms Ekman says.

One fifth of investments are in Finland with the growth financing programme accelerating the growth and investments of SMEs

Nineteen per cent, or EUR 13.4 billion, of Ilmarinen’s investments are in Finland. Of these investments, EUR 7.7 billion are investments in Finnish listed companies. Ilmarinen’s investments in unlisted Finnish companies total EUR 1.3 billion. 

“By investing the shared pension assets, we secure the funding of current and future pensions. Investing in Finnish companies is part of the work we do to build sustainable growth in Finland,” says Mikko Mursula.

Ilmarinen and OP Pohjola launched a EUR 300 million growth financing programme in June. The goal is to provide Finnish SMEs with better access to financing and support growth projects across the country. OP Pohjola is contributing EUR 200 million, while Ilmarinen is providing EUR 100 million.

“Let's revive growth in Finland. Cooperation is a key promoter of business growth in a tough economy. I believe that we can become even better at finding companies that are ready to grow and thrive,” says Mursula.

Solvency ratio strengthened  

Ilmarinen’s solvency ratio strengthened. The solvency capital rose to EUR 16.8 billion (EUR 15.5 billion at the end of 2025), and the solvency ratio strengthened to 130.7 per cent (129.2 per cent at the end of 2025).

The legislative proposals concerning the pension reform entered into force at the beginning of July after the reporting period. As a result of the reform, Ilmarinen’s solvency position improved considerably as the solvency limit decreased. This means more opportunities for risk-taking.

Operating expenses financed using loading income decreased to EUR 46 million (47), amounting to 0.31 per cent (0.32) of the Employees Pensions Act payroll and YEL income of the insured.

Positive developments in customer acquisition

Our premiums written were at the level of the preceding year, EUR 3.68 billion (3.67). The premiums written were increased by the 2.2 per cent increase in clients’ TyEL payroll but weakened by the slight decrease in TyEL contribution rate as compared to the comparison year.

Ilmarinen’s first half of the year was particularly strong in terms of customer acquisition. Net customer acquisition increased to EUR 124 million (24), and customer retention was 96.3 per cent (96.1).

“It is great that more and more people have entrusted us with their pension cover. In the sales of new insurance policies for entrepreneurs, we were the market leader in terms of the number of policies sold,” says Mursula.

We paid EUR 4.1 billion in pensions to 447,000 pensioners

In January–June, Ilmarinen paid EUR 4.1 billion (EUR 4.0 billion) in pensions to 447,279 pensioners (451,799). The number of new pension decisions was 20 per cent lower than in the previous year, totalling 18,692 (23,367). A significant part of the decrease was due to work carried out alongside old-age pension and the applications for the pension accrued from this work. The number of pension decisions varies annually depending on age limits. On average, a decision on old-age pension was issued by Ilmarinen in 2 (3) days.

From January to June, 1,600 (1,789) persons transitioned to a disability pension or cash rehabilitation benefit, which is 11 per cent less than last year.

Ilmarinen’s development in January–June in brief: 

• The return on Ilmarinen’s investment portfolio was 5.3 (2.1) per cent, i.e. EUR 3.5 billion. The market value of investments increased to EUR 70.4 (67.5) billion. The long-term average return on investments since 1997 was 6.0 per cent, which corresponds to an annual real return of 4.1 per cent.
• The total result was EUR 1,304 (112) million.
• Premiums written totalled EUR 3,682 (3,670) million, and pensions paid EUR 4,069 (4,021) million.
• Net client acquisition strengthened to EUR 124 (24) million, and rolling client retention for the previous 12 months was 96.3 (96.1) per cent.
• Operating expenses financed using loading income totalled EUR 46 (47) million, amounting to 0.31 (0.32) per cent of the Employees Pensions Act payroll and YEL income of the insured.
• Solvency capital grew to EUR 16.8 (15.5) billion, and the solvency ratio strengthened to 130.7 (129.2) per cent.
• Prospects: Ilmarinen’s written premiums are expected to increase at a slightly slower rate than the increase in payrolls, as the TyEL contribution percentage decreased for 2026. The decrease in the contribution percentage was due to the fact that repayment of the temporary reduction of employers' social security contributions granted during the COVID-19 pandemic ended in 2025.

Read more:

• Ilmarinen’s interim report (PDF, in Finnish)
• Interim report picture supplement (PDF, in Finnish)

Additional information:

• Mikko Mursula, President and CEO, tel. +358 50 380 3016, mikko.mursula@ilmarinen.fi
• Annika Ekman, EVP, Investments, tel. +358 40 590 0344, annika.ekman@ilmarinen.fi
• Sami Ärilä, EVP, People and Communications, tel. +358 400 271 066, sami.arila@ilmarinen.fi