Alecta’s Optimal Pension product made a return of -6.2 per cent in the first quarter of 2022, the Swedish pension company has revealed.

This figure represents a 13.1 percentage point decrease from Q1 2021, when the product returned 6.9 per cent.

Over a five-year period, the annual average return for the product has been 8.7 per cent as of 31 March 2022, down from the 9.4 per cent recorded at the end of March 2021.

Assets under management in the total portfolio for Alecta’s Optimal Pension increased year-on-year, from SEK 183bn in Q1 2021 to SEK 218bn in Q1 2022.

The solvency ratio for the group was 204 per cent, compared to 181 per cent a year ago.

In defined benefit (DB) insurance, group consolidation totalled 179 per cent at the end of March 2022, up from 160 per cent in Q1 2021.

The consolidation level is Alecta's assets as a percentage of the insurance commitments and governs the distribution of bonuses to customers.

Alecta’s assets under management in the total portfolio for DB insurance amounted to SEK 960bn, up from SEK 907bn.

Total capital managed by Alecta rose from SEK 1,090bn in Q1 2021 to SEK 1,178bn in Q1 2022.

The management expense ratio for the group was 0.07 per cent, while its asset management expense ratio was 0.02 per cent.

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