Sustainability and diversity for better investments
Tina Rönnholm is the coordinator for the AP1 investments that are managed by external asset managers. This equates to around 20 per cent of the Fund’s assets, or SEK 6 billion.
Tina Rönnholm is the coordinator for the AP1 investments that are managed by external asset managers. This equates to around 20 per cent of the Fund’s assets, or SEK 6 billion.
“AP1 takes a long-term approach and invests considerable amounts. That’s why it’s important that we consider both the financial and the non-financial information in our investment decisions,” says Tina Rönnholm.
Sustainability, or ESG – Environment, Social and Governance – are examples of non-financial information the Fund would like to see all asset managers considering. For Tina Rönnholm, this means that she devotes a lot of her time to these issues.
“We have big problems in society. All people are needed to help sort them out. I want to see less talk and more action.”
Tina began reading stock exchange news in her local newspaper as a child, and has now been in the financial sector for 20 years. Today she works with asset managers around the world and assesses their investment organisations, philosophy and processes.
“Integrating ESG aspects into investment decisions requires human involvement, and the analysts’ background is a factor. Diversity is important. Different life experiences, backgrounds, ages, educations and so on contribute to more comprehensive assessments,” Tina explains.
New recruits at AP1 are plunged straight into the core business.
“The Fund has a clearly defined goal: to create returns for the pension system. It’s easier to get into the swing of work if you know why you’re doing what you’re doing,” says Dmytro Sheludchenko.
He has been working with quantitative analysis for a few years, the field of asset management that develops and uses mathematical methods.
“We transform overriding goals into systematic asset management. In our group, we work together to decide how we do that. Also, my manager and other colleagues listen to my ideas about what we can do.”
Ongoing development is important to AP1. This is why Dmytro’s manager, Patrik Nyman, sees great benefit in taking the views of junior employees on board.
“We constantly question whether we’ve analysed the investments correctly. New angles of approach help us to find new answers,” he says.
Patrik Nyman and Dmytro Sheludchenko
Patrik is responsible for allocation and has worked in the AP Fund system since 1992.
“I may be the one who’s ultimately responsible in our group, but there are hundreds of different ways of approaching a problem. I ask my team a lot of questions about how they’re thinking.”
Dmytro feels this is a good thing.
“It’s very different to working with a boss who just says, ‘Do this’. Here we maintain a constructive dialogue, and you can take responsibility if you want to.”
Sophie Larsén is an Equities Manager in the actively managed part of AP1’s portfolio, and her goal is to make the pension fund grow.
“I like the long-term perspective at AP1, investing with a mind to owning the equities for a long time. That suits me well as it gives me an opportunity to become a true expert at certain companies and industries. We like to say that we know what we own, and I find that a healthy mindset to have, especially as we’re handling other people’s pension money.”
“Being an Equities Manager is a very social profession,” says Sophie Larsén.
Sophie’s field is called fundamental equities analysis and she has two specialist areas.
“Right from the start I’ve focused on small and mid caps on the Swedish stock exchange. Later on, when I felt I wanted to develop, I was given responsibility for an entire sector for the whole world, namely healthcare. It’s a very interesting combination,” she says.
There is really no typical day at work, but she is often out travelling to visit companies or take part in conferences.
“Being an Equities Manager is a very social profession, which may come as a surprise to some people. I can tell from my contacts with people that AP1 is a respected, well-known name in the financial sector.”