Highest return to date for AP6
In a year that was dominated by the global pandemic, AP6’s well-diversified investment portfolio of private equity investments demonstrated both resilience and strength. Carefully chosen funds together with co-investments has generated the highest return to date and the return for the year amounts to 20.4 (8.2) percent. For the last five-year period, the overall portfolio has yielded an annual return of 11.3 (9.8) percent.
Year-end report for 2020
Net profit for 2020 amounted to SEK 7,649 (2,858) million, which corresponds to a return of 20.4 (8.2) percent. Internal management costs amounted to SEK 89 (95) million.
“During this challenging year, our consistent strategy, with a carefully compiled investment portfolio, has demonstrated its strength and delivered good value growth. The portfolio strategy, of carefully chosen funds in combination with co-investments made with fund management teams that we have been working with over long periods of time, has generated our highest profit to date of SEK 7.6 billion, and a return of 20.4 percent,” says Katarina Staaf, Managing Director for the Sixth Swedish National Pension Fund (AP6).
During the year, fund commitments totaling SEK 7 billion were made, somewhat higher than last year, along with co-investments for approximately SEK 2 billion, somewhat lower than last year, but still a good rate of investment in such an unusual and extraordinary year as 2020.
AP6 has a special mandate of entirely focusing on investments in unlisted assets, which are illiquid assets where the return should be measured over the long term. It is an attractive asset class for pension assets because, in general, volatility is lower compared to listed companies and there is a long time horizon.
The model used by AP6 integrates sustainability into its investing activities. For all investment opportunities that are considered, sustainability is evaluated with equal weight as the other factors forming the basis for a decision.AP6 has a code of conduct which, together with the investment policy and its exclusion criteria, serves as the foundation for the work with responsible investments.
For more information:
Ulf Lindqvist, Head of Communications AP6: +46 708 – 74 10 48
Ulf LindqvistHead of CommunicationsTel:+46 708 - 74 10 email@example.com
About Sixth Swedish National Pension Fund
SE-411 06 Gothenburg - Sweden
+46 31 - 741 10 00https://www.ap6.se/en/
Sixth Swedish National Pension Fund (AP6)
Long-term, active investor with the mandate of investing in unlisted assets. AP6’s portfolio is based on the strength of investments in carefully selected funds in combination with co-investments. Since inception, AP6 has contributed nearly SEK 35 billion to the nation’s pension assets. AP6’s fund capital has, since inception in 1996, grown from SEK 10.4 billion to SEK 45.2 billion as of year-end 2020.
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Latest releases from Sixth Swedish National Pension Fund
High investment rate and stable return27.2.2020 15:10:00 CET | Press release
A good performance trend in the portfolio and a number of divestments sum this year's return to 8.2 percent (9.6). Over the past five-year period, the total portfolio has yielded an average annual return of 9.8 percent.
New Managing Director appointed for AP620.6.2019 10:00:00 CEST | Press release
The Board of the Sixth Swedish National Pension Fund (AP6) has appointed a new Managing Director, Katarina Staaf, which has a broad experience of investments, transactions, capital markets and board work through various specialist roles and senior management positions in the finance and real estate market.
Strong performance for AP6 in 201822.2.2019 10:00:00 CET | Press release
2018 was a very good year for the Sixth AP Fund (AP6). Performance has been strong across the entire portfolio of holdings. There was a high level of activity in sales of both direct and indirect portfolio companies, generating a large inflow of capital. Return for the year was 9.6 percent. The rate of investment was once again high in 2018, for both direct investments and fund investments.
Karl Swartling ends as Managing Director for AP67.2.2019 10:00:00 CET | Press release
After seven years as Managing Director for AP6, Karl Swartling has decided to move on. Margareta Alestig Johnson, Deputy Managing Director, has been appointed by the Board as acting Managing Director. Recruitment process of new Managing Director commences.
AP6 Year-end report for 2017 - Strong earnings and a high rate of investment23.2.2018 12:00:00 CET | Press release
2017 was a very good year for the Sixth AP Fund (AP6). There has been value growth across the entire portfolio of holdings and the investment rate has remained high. A return of 12.3 (6.5) percent was generated during the year.
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