All asset classes outperformed index

The Second AP Fund’s return on invested capital contributed SEK 2.5 billion during the first half of 2010. After pension disbursements of SEK 2.0 billion, the Fund’s capital assets amounted to SEK 204.8 billion. The Fund posted a total return, excluding costs, of 1.3 percent. Relative to the benchmark index, return was 0.4 percent, excluding alternative investments and costs. All asset classes outperformed their respective benchmark indices.

  • The Second AP Fund’s assets under management amounted to SEK 204.8 (182.5) billion as of June 30 2010.
  • The Fund posted a first-half net result of SEK 2.5 (10.9) billion. Net outflows to the pension system amounting to SEK -2.0 (-1.7) billion were charged against the net result.
  • The Fund’s return on the total portfolio was 1.3 (6.4) percent, excluding commission costs and operating expenses. Including these costs, the portfolio generated a return of 1.2 (6.3) percent.
  • The Fund noted a relative return of 0.4 (0.1) percent including implementation effects for the strategic benchmark portfolio, but excluding alternative investments, commission costs and operating expenses.
  • The Fund’s level of currency exposure was 9 percent.
  • In June, the Fund decided to make its first investment in an agricultural fund (Teays River, a US fund).
  • The assets under management outperformed their benchmark indices in all asset classes. The Second AP Fund’s portfolio, which continues to feature a high proportion of equities, has benefited from the favourable performance of the Swedish equities market. This trend has been sustained during the first six months of this year. The return generated on Swedish equities during the first half amounted to 7.2 percent, 0.3 percent improvement against the benchmark index, states Eva Halvarsson, CEO of the Second Swedish National Pension Fund/AP2.

A Corporate Governance Report will be published separately in October.

For further details, please contact CEO Eva Halvarsson, Second Swedish National Pension Fund, or Ulrika Danielson, head of Corporate Communications, on +46 31 704 29 00.