Description

Swiss GAAP FER 26 “Accounting of pension plans” regulates the accounting and reporting of pension plans. Financial statements drawn up by pension plans in accordance with Swiss GAAP FER 26 shall comprise a balance sheet, operative account and notes. Such financial statements fulfil all legal requirements and require no further reporting.

In the balance sheet, all assets must be stated at actual values. In view of the particularly long-term nature of their objectives, pension plans are entitled to create a reserve for fluctuations in asset value. The recommendations do not contain actuarial provisions and allow for the calculation of pension liabilities and actuarial reserves with both the static method and the dynamic method. The classifications of the balance sheet and the operative account as well as designations must be consistently applied according to Swiss GAAP FER 26. In the explanatory notes, general information regarding the organisation, actuarial risks or investments and the net return has to be disclosed.