Stockholm (HedgeNordic) – Danish pension fund LD Fonde has chosen BankInvest to oversee its listed alternative investments, amounting to up to DKK 2 billion. Departing from the traditional path of investing in the private, illiquid space, LD Fonde has chosen to access alternative investments through listed investment companies such as listed private equity funds.
The decision to appoint BankInvest to oversee alternative investments for LD Fonde follows an EU tender conducted in the second half of 2023, where LD Fonde received 12 bids from both Danish and international managers. BankInvest is expected to initiate the management of the mandate during the first half of 2024, initially focusing on managing around DKK 1 billion in private equity.
“LD Fonde has chosen a modern approach to gain exposure to alternatives.”
BankInvest has demonstrated expertise in the area of liquid alternative investments. BankInvest’s team focused on liquid alternatives has been managing Børsnoterede Alternativer, an alternative investment fund mainly investing in private equity, private debt, infrastructure, and real estate. A member of this team is Tore Davidsen, who used to serve as a portfolio manager for SEB Eureka Fixed Income Relative Value since its launch in January 2018, working alongside the fund’s architect and chief investment officer, Bo Michael Andersen.
“BankInvest has built an investment process and portfolio construction that provides a well-diversified portfolio and daily estimates of the price of the underlying unlisted investments,” says Kristoffer Fabricius Birch, Co-Chief Investment Officer and Head of Equities at LD Fonde. As an investor, LD Fonde gains access to sophisticated digital tools, enabling the daily tracking of exposure and returns across individual investments and asset classes. This is crucial for making informed investment decisions, according to Birch.
Andrea Panzieri, Investment Director at BankInvest, eagerly anticipates the upcoming collaboration on the management of listed alternatives. “LD Fonde has chosen a modern approach to gain exposure to alternatives,” says Panzieri. “LD Fonde gets a liquid portfolio with flexible portfolio management, a high degree of diversification and the opportunity to take advantage of distortions in the market.”