Forsta AP-fonden Reports Understandable Fall in Returns

20 February 2012 (PLANSPONSOREurope.com) - Sweden’s Första AP-fonden says its return after expenses for 2011 of -1.9% is “understandable” given the turmoil in financial markets last year.

The fund’s 2011 annual reports reveals net assets under management amounted to SEK 213,318, an increase of SEK 67.6bn since the fund’s inception in 2001.

The Fund has also cut administrative expenses, from a ratio of 0.13 to 0.12%.

Managing Director Johan Magnusson said: “As we look back on 2011 we see a year of turmoil, not least in the financial markets. The global equity markets showed a downward trend. Development in the fixed income markets varied widely – we have seen sharply rising rates in countries with a high level of debt but falling rates in countries where the financial risks are considered low. Against this background, our investment income for 2011 of SEK –4.2 billion, equal to a return of –1.9%, is understandable. Although it is lower than our long-term target, it is still relatively good under the circumstances.”
 

PLANSPONSOREurope Staff
editors@plansponsoreurope.com