- Advertisement -
- Advertisement -

Related

Solid 2023 Rebound for P+, Spotlight on Hedge Funds

Report: Alternative Fixed Income

- Advertisement -

Stockholm (HedgeNordic) – P+ Pensionskassen for Akademikere enjoyed a notable rebound in 2023 after a challenging 2022. This resurgence extended to the “special investments” portfolio of P+, which includes the occupational pension fund’s hedge fund investments. This part of the portfolio secured the third-best performance among the main asset allocation segments, ranking just behind global equities and private equity.

The “special investments” segment of the portfolio delivered a return of 11.5 percent for P+ Balance, where the majority of the pension fund’s members have their savings invested. This portfolio bucket includes investments in several Danish hedge funds specializing in mortgage bonds, according to recent annual reports and reports on social responsibility. P+’s “special investments” portfolio recovered from a negative 7.5 percent return in 2022, attributed to challenges faced in the Danish mortgage market.

Within this portfolio segment, P+ invested in hedge funds such as Danske Invest Hedge Fixed Income Strategies and Asgard Fixed Income Risk Premia. Both secured positions among the top ten best-performing hedge funds in the Nordics, each with a similar 21.3 percent return in 2023. These Danish fixed-income hedge funds recovered from declines of 9.4 percent and 8.0 percent in 2022, respectively. Another constituent of the portfolio, the Nordea European Rates Opportunity Fund, concluded 2023 with a flat return of 0.2 percent after delivering a 10.2 percent return in 2022.

In 2023, P+ witnessed an exceptionally fruitful investment year, with P+ Balance realizing a return of 13.2 percent. This positive outcome can be attributed, in no small part, to P+’s strategic decision to adhere to its investment strategy of being exposed to equities despite the financial tumult of 2022. “We have kept the long light on and maintained our strategy. As a result, approximately 70 percent of our exposure has been directed towards U.S. stocks,” says Jasper Riis, chief investment officer at P+. ”Although there are variations in the American market, the asset class has proven to be an overall positive allocation with a return of around 18 percent in 2023.”

“Our credit bonds and special investments yielded excellent returns of 9.9 percent and 11.6 percent, respectively, while real assets generated 5.4 percent.”

Jasper Riis

Other segments of the portfolio also contributed to returns in 2023. “Our credit bonds and special investments yielded excellent returns of 9.9 percent and 11.6 percent, respectively, while real assets generated 5.4 percent,” says Riis, who assumed the role of CIO in mid-2023, several months after joining P+ from Danske Bank Asset Management. Before joining P+, he led the Quant and Overlay team responsible for managing Danske Bank’s quantitative-based equity strategies, equity and derivatives-based hedge fund strategies, and equity index products. “Bonds contributed a return of 5.2 percent, marking a significant improvement compared to the previous year.”

P+’s sustainable savings product, P+ Sustainable (P+ Bæredygtig), delivered the highest return of 18 percent in 2023 among market-rate pension products in Denmark. The product’s allocation to hedge funds and special investments returned 17.5 percent in 2023, trailing behind the 21.4 percent return for global stocks and the 18.4 percent return for private equity investments. This sustainable savings product accounted for DKK 2.06 billion of P+’s total assets under management of DKK 156.7 billion.

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Eugeniu Guzun
Eugeniu Guzun
Eugeniu Guzun serves as a data analyst responsible for maintaining and gatekeeping the Nordic Hedge Index, and as a journalist covering the Nordic hedge fund industry for HedgeNordic. Eugeniu completed his Master’s degree at the Stockholm School of Economics in 2018. Write to Eugeniu Guzun at eugene@hedgenordic.com

Latest Articles

Bitcoin-Focused Anna Secures Full AIFM License

Anna Asset Management, which runs a momentum-driven strategy focused on Bitcoin futures, has been granted a full license as an alternative investment fund manager...

Bright Spots Emerge Amid Difficult March for Nordic Hedge Funds

Although March already feels like a distant memory amid the turbulence of April, Nordic hedge funds also faced a challenging month back then. All...

Mandatum Managed Futures Maintains Momentum

Mandatum Managed Futures Fund was named the “Best Nordic Managed Futures Fund” at the Nordic Hedge Award for the second year in a row,...

TIND Discovery Fund Clinches 2024 “Rookie of the Year” Title

One of the earliest distinctions a newly launched hedge fund in the Nordics can earn is the “Rookie of the Year” award, granted annually...

Evli’s Nordic High Yield Fund Aims for Balanced Pan-Nordic Exposure

Finnish asset manager Evli has long been recognized as a specialist in fixed income, managing €7 billion across the asset class. While the firm...

Announcing the Winners of the 2024 Nordic Hedge Award

HedgeNordic is delighted to announce the winners at the 2024 Nordic Hedge Award. We are honoured and humbled to bring together the Nordic hedge...

Allocator Interviews

In-Depth: Megatrends

Voices

Request for Proposal

- Advertisement -