Key Takeaways
- • Stichting Pensioenfonds Mars, a €1.5bn Dutch pension scheme, nearly doubled its hedge fund allocation from 11% to 21% during 2025, according to its latest annual report as cited by IPE.com.
- • The increase was executed through larger investments in two existing funds-of-funds, part of a broader pivot away from public markets.
- • Listed equities were cut from 14% to 5%, high-yield bonds from 7% to 4%, and emerging market debt from 11% to 4%.
- • The reallocation aims to protect the scheme's funding position ahead of its transition to a defined contribution system, now postponed to 1 January 2028; the funding ratio stood at 138% at end-July.
Summary
Stichting Pensioenfonds Mars has almost doubled its allocation to hedge funds as the €1.5bn Dutch pension scheme reshaped its portfolio to provide greater protection against market volatility, according to a report by IPE.com. The move comes ahead of the fund's planned transition to a defined contribution system.
According to the pension fund's latest annual report, hedge fund exposure rose from 11% to 21% during 2025. The additional capital was deployed through larger investments in two existing funds-of-funds. The change formed part of a broader shift away from public markets: the scheme reduced its allocation to listed equities from 14% to 5%, cut high-yield bonds from 7% to 4%, and lowered emerging market debt from 11% to 4%.
Mars also introduced a new passive mandate investing in investment-grade government and corporate bonds, citing the strategy's relatively low sensitivity to movements in equity and credit markets. The scheme, which serves around 4,500 members, has historically maintained relatively high allocations to alternatives including hedge funds and private equity, which it views as providing diversification and access to an illiquidity premium.
The latest changes were driven in part by a desire to protect the funding position before the scheme's eventual move to a DC system. That transition, originally planned for earlier, has been postponed to 1 January 2028. Investment manager and board member Rianne Steenbergen said the portfolio had been deliberately structured to withstand financial-market shocks and help preserve the funding ratio ahead of the transition. Mars' funding ratio stood at 138% at the end of July.
According to the pension fund's latest annual report, hedge fund exposure rose from 11% to 21% during 2025. The additional capital was deployed through larger investments in two existing funds-of-funds. The change formed part of a broader shift away from public markets: the scheme reduced its allocation to listed equities from 14% to 5%, cut high-yield bonds from 7% to 4%, and lowered emerging market debt from 11% to 4%.
Mars also introduced a new passive mandate investing in investment-grade government and corporate bonds, citing the strategy's relatively low sensitivity to movements in equity and credit markets. The scheme, which serves around 4,500 members, has historically maintained relatively high allocations to alternatives including hedge funds and private equity, which it views as providing diversification and access to an illiquidity premium.
The latest changes were driven in part by a desire to protect the funding position before the scheme's eventual move to a DC system. That transition, originally planned for earlier, has been postponed to 1 January 2028. Investment manager and board member Rianne Steenbergen said the portfolio had been deliberately structured to withstand financial-market shocks and help preserve the funding ratio ahead of the transition. Mars' funding ratio stood at 138% at the end of July.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.