Fund assets, managed under an asset/liability model, amount to €9,203 million at 31 December 2022 (€13,148 million at 31 December 2021) and concern the coverage of retirement gratuities and the specific benefits of the special pension system.
The value of fund assets declined during the year, mainly as a result of less favourable trends on the financial markets.
Investments under the contracts concerned break down as follows:
| (in millions of euros) | 31/12/2022 | 31/12/2021 |
|---|---|---|
| TOTAL FUND ASSETS | TOTAL FUND ASSETS31/12/20229,203 | TOTAL FUND ASSETS31/12/202113,148 |
| Assets funding special pension benefits | Assets funding special pension benefits31/12/20228,812 | Assets funding special pension benefits31/12/202112,606 |
| (in %) | (in %)31/12/2022
|
(in %)31/12/2021
|
| Equities | Equities 31/12/202233% |
Equities 31/12/202132% |
| Monetary bonds | Monetary bonds 31/12/202265% |
Monetary bonds 31/12/202167% |
| Real estate assets | Real estate assets 31/12/20222% |
Real estate assets 31/12/20211% |
| Assets funding retirement gratuities | Assets funding retirement gratuities31/12/2022377 | Assets funding retirement gratuities31/12/2021527 |
| (in %) | (in %)31/12/2022
|
(in %)31/12/2021
|
| Equities | Equities 31/12/202231% |
Equities 31/12/202133% |
| Monetary bonds | Monetary bonds 31/12/202269% |
Monetary bonds 31/12/202167% |
| Assets funding other benefits | Assets funding other benefits31/12/202214 | Assets funding other benefits31/12/202115 |
The main actuarial assumptions used for provisions for post-employment benefits and long-term employee benefits under the IEG system are summarised below:
The discount rate used for employee benefit obligations is determined by applying the yield rate on high-quality corporate bonds of appropriate duration to maturities corresponding to the future disbursements resulting from these obligations. For longer durations, the calculation also takes into consideration data from a wider selection of corporate bonds adjusted for comparability with the high-quality bonds, given the smaller panel of bonds with these durations since 2017.
Changes in the economic and market parameters used led EDF to set the discount rate at 3.90% at 31 December 2022 (1.30% at 31 December 2021). The increase in the discount rate essentially relates to the increase in risk-free rates observed at the end of 2022.
The inflation assumption is based on an inflation curve constructed from economic forecasts and inflation-indexed market products.
As a result of changes in the economic and market parameters, the assumed average inflation rate used as the EDF group’s benchmark for Euro zone countries is 2.30% at 31 December 2022 (1.70% at 31 December 2021).
The obligations are based on wage increase assumptions that are differentiated by age group and employee category, with an average annual rise of 3.7% including inflation for a projected full career.
The pay rise agreements signed in 2022 have been taken into consideration in calculating the obligations. For 2024 and subsequent years, the wage laws referred to for these calculations are based on average wage increases observed in recent years (adjusted for non-recurring effects).
The mortality table used to calculate obligations is based on the INSEE 2013-2070 generation table (produced by the French statistics office), corrected for differences in mortality between the general French population and the population covered by the IEG regime.
