AP3, Stockholm, reported its assets increased 5.6% to an all-time high of 304.4 billion Swedish kronor ($36.6 billion) over the six months ended June 30.
The pension fund recorded an investment return of 6.4% over the six-month period. Comparative figures were not available.
In a financial update, AP3 said it was committed to continuing to diversify its portfolio.
“Our efforts to diversify the portfolio had a strongly beneficial impact on income,” CEO Kerstin Hessius said in the update. “Had we invested solely in listed equities and fixed-income instruments, we would have lost out on 2.6 percentage points in return.”
The pension fund has been increasing its exposure to alternative investments and to absolute-return strategies. In the six months ended June 30, it made additional investments in green bonds, increasing the assets in the green bond portfolio to 4.5 billion Swedish kronor. It also divested equity holdings in companies active in the coal industry. Comparative figures were not available by press time.
AP3 also updated reporting dates for measuring average annual returns, to allow for comparability of financial data with other AP funds. It now uses the reporting dates of July 1, 2010, to June 30, 2015, for five-year returns; and July 1, 2005, to June 30, 2015, for 10-year reporting. It previously used Jan. 1, 2011 to June 30, 2015, for five-year returns; and Jan. 1, 2006, to June 30, 2015, for 10-year reporting.
Over five years, AP3’s annualized return over five years was 9.3%, and 6.6% over 10 years.
A spokeswoman for AP3 could not be reached for comment by press time.