Alecta Pensionsforsakring, Stockholm, recorded a 7.7% return for its defined benefit portfolio and 12.4% for its defined contribution portfolio for the first half of 2021, driven by the performance of its equity portfolio, Alecta said Friday.
Assets increased 17.8% over the six-month period, to 1.13 trillion Swedish kronor ($133 billion) as of June 30, according to Alecta's interim report.
In the first half of 2020, Alecta recorded a loss of 1.1% for the defined benefit portfolio and 2.2% loss for the defined contribution portfolio.
It's five-year annualized return was 7.1% for the defined benefit portfolio and 10.3% for the defined contribution portfolio as of June 30.
"Alecta has also delivered a good return this half-year and has a continued strong financial position," said Magnus Billing, CEO of Alecta, in a news release Friday. "We have done this with a clear and disciplined focus on cost efficiency. Alecta has, despite the challenges of the pandemic, managed to ensure a very good result for Alecta's customers."
Mr. Billing added that good return during the six-months period is mainly attributable to its equity portfolio, but also to the performance of allocations to alternatives such as real estate, infrastructure and alternative loans.