Our investments

Investment rules

Change in legal requirements

Our investments are governed by the rules of the National Pension Insurance Funds (AP Funds) Act, partly in regard to how large a percentage of the capital may be invested in each type of asset. On 1 January 2019 the Act changed.

The National Pension Insurance Funds (AP Funds) Act’s new investment rules for AP1 state that:

  • Investment decisions may not be influenced by government policies, whether industrial or economic.
  • The funds shall be invested in an exemplary way through responsible investment and responsible conduct without compromising the overall objective of attaining a high return.
  • The Fund’s investments in regulated Swedish markets may not exceed 2 per cent of the total market value.
  • The Fund may hold no more than 10 per cent of the votes in any single listed company.
  • At least 20 per cent must be invested in fixed-income securities with a high credit rating.
  • No more than 40 per cent may be invested in illiquid assets.
  • No more than 40 per cent of assets may be exposed to foreign exchange risk.
  • No investments in commodities may be made.

The First – Fourth AP Funds have jointly agreed on common guidelines on which assets should not be invested in.

Further changes are expected

Sweden’s Ministry of Finance is expected to introduce further suggested investment rules during 2019 or 2020.