AP3 withstands challenging 2022

Staffan Hansén, new CEO of the Third Swedish National Pension Fund (AP3) since 31 October, commented:

"As an investor, we are always affected by major global movements in the financial markets, but given the general performance of markets over the year, the return should be regarded as reasonable."

2022 in brief:

• The return was -5.8% (20.7) percent after expenses
• Fund capital stood at SEK 468.4 billion (502.3)
• The asset management cost ratio was 0.08% (0.08), of which operating expenses were 0.05% (0.05)
• Disbursements to the pension system from AP3 totalled SEK 4.7 billion (7.5)
• Average annual return after expenses was 8.1% for the last 5 years and 9.3% for the last 10 years.
• AP3's alternative investments returned 8.9%, mainly due to investments in infrastructure and timberland
• AP3 developed sustainability goals in the focal areas of corporate governance, climate, human rights and biodiversity.

AP3 has contributed to strengthening the pension system over time. Since its inception in 2001, AP3 has generated an annual average return of 6.4%, while the income index, which determines the adjustment of pension credits and pensions, has risen by the equivalent of 3.0%.

Key figures	31 Dec. 2022	31 Dec. 2021
Net result, SEK bn	-29.2	86.8
Net payment to the pension system, SEK bn	4.7	7.5
Fund capital, SEK bn	468.4	502.3
Return after expenses, %	-5.8	20.7
Total management expenses as a percentage of assets under management, %	0.08	0.08
Operating expenses as a percentage of assets under management, %	0.05	0.05
Annual average income index, 5 yrs, %	2.9	2.8
Annual average income index, 10 yrs, %	2.7	2.7
Annual average return after expenses, 5 yrs, %	8.1	11.3
Annual average return after expenses, 10 yrs, %	9.3	11.1
Real return after expenses, %	-16.1	16.2
Annual average real return after expenses, 10 yrs, %	6.8	9.8

 AP3 annual report 2022 can be downloaded here

For further information, please contact:

Lil Larås Lindgren, Head of Communications. Tel.: +46 (0)8-555 17 123 lil.lindgren@ap3.se