Andra AP-fonden Profile
Andra AP-fonden, translated into the Second Public Pension Fund, is a private investment management organization based out of Gothenburg, Sweden. The Second Public Pension Fund was founded in 2001 and is headed by CEO Eva Halvarsson. The company, along with the other AP-fonden funds, each manage funded capital in the income based pension system of Sweden. The Second Public Pension Fund, along with the first through fourth funds, has a mandate that focuses on investments that aim to achieve high returns with a long term perspective at a low risk. The fund operates under the Ministry of Finance of Sweden, which acts as the principal for the Second Public Pension Fund. Second Public Pension Fund is currently one of the five buffer funds of the Sedish pension system tasked with maintain consistent pension levels regardless of market status. The fund has a scientific “strategic management model includes long-term forecasts covering demographic, socio-economic and capital-market developments.” Second Public Pension Fund holds approximately 300 billion SEK in total assets under management and is one of the largest pension funds in Europe. The fund allocates its assets most heavily in equities, which alone makes up almost half of its total allocations, and also invests in fixed income securities and alternative investments, which respectively make up another third and fifth of its total allocations. The Second Public Pension Fund invests its assets across a diverse array of sectors including health care, finance, consumer discretionary, information technology, consumer staples, utilities and telecommunications, and industrials, among others to a lesser degree, in order of decreasing allocation. The fund’s top 10 holdings make up only 10% of its total asset allocations and the company has a turnover rate of approximately 10.6%. Second Public Pension Fund benchmarks its performance against a variety of MSCI, SHB, Lehman, and other indexes.