Första AP-fonden (AP1) manages part of the capital in Sweden’s national income pension system. The fund’s medium-term return target on the total portfolio after costs is 3.0 per cent real per year measured over rolling ten-year periods starting in 2020. The long-term return target (over 40 years) is 4 per cent average annual real return after costs.
Our assets of SEK 355 billion are distributed across a global portfolio consisting of equities, fixed-income securities, real estate, infrastructure, private equity funds and hedge funds.
We invest sustainably and long-term, and practise responsible ownership.
The COVID-19 pandemic has changed the playing field for the global economy and affects us all, directly or indirectly. For Första AP-fonden (AP1) the pandemic entailed some intensive activities during the spring, with constant evaluation of the allocation strategy based on a rapidly evolving situation, while at the same time measures were taken to safeguard the health and safety of the Fund’s employees.
The Council on Ethics of the Swedish National Pension (AP) Funds Annual Report 2019.
Första AP-fonden, has decided to no longer invest in fossil fuels. The decision is a result of the funds work to identify and analyse climate-related financial risks in the economy, and in the fund’s investment portfolio.
Första AP-fonden’s (AP1’s) net investment income for 2019 amounted to SEK 48.6 billion after expenses. This equates to a return of 15.1 per cent, the highest annual return in a decade. Total net assets amounted to SEK 365.8 billion at the year-end.
On AP1’s LinkedIn page you will find news, comments and vacancies. You can also meet some of our employees, who share what it’s like to work at AP1.
The average annual real return after expenses for the past ten-year period is 6.7 per cent, which is higher than the target of 4.0 per cent.
Första AP-fonden’s range of investments is governed by the National Pension Insurance Funds (AP Funds) Act. A change in the law is expected to improve the ability to act in pensioners’ best interests.
Photo: Melker Dahlstrand/Sveriges Riksdag.
“AP1 is a good owner that is persistent, but also places clear demands on sustainability and profitability,” says Mikael Granath, MD of real estate company Willhem.