The consolidation of the AP Funds’ - successfully completed by the Stockholm-based funds

A total of approximately SEK 510 billion in listed and unlisted assets was transferred at year-end from AP1 to the AP3 and AP4. This corresponds to just over 98 per cent of AP1’s total assets at year‑end. The transfer was made in equal parts to AP3 and AP4.

Staffan Hansén and Niklas Ekvall, CEOs of AP3 respectively AP4:

“The intense and extensive preparations for the consolidation during 2025 is now completed by the three AP Funds and has been challenging but highly successful. We are proud to say that, in cooperation with the Government appointed special investigator, we have managed to implement the consolidation so effectively and in such a short period of time.”

The consolidation was prepared and executed while maintaining full focus on the core business: managing the fund capital to the greatest possible benefit of the pension system. Furthermore, the consolidation has been implemented in a cost-effective manner for the pension system, meaning that from 2027 onwards, annual savings are expected to amount to SEK 150–200 million.

Less than 2 per cent of the fund capital was not transferred and therefore remains within tAP1. AP4 will manage these remaining assets separately for the greatest benefit of the pension system. When possible and appropriate, these segregated assets will be transferred in equal parts to AP3 and AP4.

The segregated assets consist mainly of unlisted funds for which it has not been deemed cost effective or otherwise beneficial for the pension system to transfer to AP3 and AP4. Certain equities of very limited value that are subject to sanctions or delisted also cannot be transferred and will remain under separate management.

The consolidation work has focused on ensuring an orderly and responsible handover from AP1 to AP3 and AP4. It has been carried out in collaboration with the Government appointed special investigator, the AP Funds’ auditor, and the Ministry of Finance. During the winding down period in 2025, AP1 continued to conduct its ongoing asset management operations as an independent authority.

AP3 and AP4 wish to thank AP1 and its employees for the cooperation during 2025 to implement the consolidation in a responsible manner. The mission of the Third and Fourth AP Funds is to manage the newly transferred assets from the AP1 in the best possible way for today’s and tomorrow’s Swedish pensioners.

Background to the consolidation

In 2025, the Swedish Parliament decided on changes to the management of the buffer capital in the AP Funds. The decision includes consolidating the three Stockholm‑based buffer funds into two, by transferring the assets and obligations of the AP1 to AP3 and AP4, while the assets and obligations of the Gothenburg‑based AP6 are transferred to AP2. The legislative changes entered into force on 1 January 2026.

About AP3 and AP4

AP3 and AP4 are buffer funds within the Swedish national pension system. As of 30 June 2025, the two funds managed just over SEK 1,100 billion, which increased to just over SEK 1,600 billion following the consolidation that came into effect on 1 January 2026.

The buffer funds are mandated by the Swedish Parliament to manage the fund capital to the greatest possible benefit of the pension system by generating high returns at a low level of risk in a responsible manner. The aim is for today’s and tomorrow’s pensioners to benefit from the AP Funds’ contribution to a robust pension system.

During 2025, the Third and Fourth AP Funds jointly implemented new portfolio system support, ensuring the funds are well equipped to manage an even larger volume of assets for the greatest possible benefit of current and future Swedish pensioners.

The annual reports for 2025 of the AP Funds will be published on 20 February (AP1 and AP4) and 6 March (Ap3).

 

For further information, please contact:

Tobias Fransson, Head of Sustainability, Finance & Communications AP4
+46 70 603 80 75, tobias.fransson@ap4.se

Lil Larås Lindgren, Head of Communications AP3 lil.lindgren@ap3.se