Swedish pension provider AMF made a return of 5.7 per cent in the first six months of 2024, it has revealed.

Publishing its interim results, AMF revealed it had a solvency ratio of 225 per cent at the end of June 2024. The pension provider’s management cost for traditional insurance amounts to SEK 0.11 per SEK 100 in assets under management.

Premium income amounted to SEK 20.8bn while premiums for unit-linked insurance, reported as deposits to investment contracts, amounted to SEK 1.6bn.

“The Swedish economy continued to show positive signs in the first half of the year, although political and geopolitical uncertainty remains globally, and the recovery here at home takes time. We delivered a good total return of 5.7 per cent to our 4.4 million savers, which feels particularly good as we know that many are still struggling financially in the wake of high inflation and the recession of recent years,” AMF CEO, Johan Sidenmark, said.

“It also feels good that we have been able to sharpen our traditional insurance during the spring and made it even more secure and better. Among other things, by strengthening the guarantees for 700,000 of our customers. This was accomplished by converting SEK 5.6bn of accumulated surplus into strengthened guarantees.”

Regarding its investment performance, equities gave the strongest performance with a return of 13.6 per cent, on the back of continued positive performance on several key stock markets.

“Over time, we have had very good returns averaging 6.4 per cent over the past five years, 6.9 per cent over the last 10 years and 7.4 per cent over the last 15 years. This is important because this is how high pensions are created. Many of AMF's funds also performed well during the first half of the year. Twelve of our 14 funds beat their benchmark indices. All of AMF's equity funds and our balanced fund had a positive return, as did three out of four fixed-income funds," AMF head of asset management, Tomas Flodén, said.

Within AMF Fonder, assets under management amounted to SEK 233bn. The AMF Group, which consists of the parent company AMF, AMF Fastigheter AB and AMF Fonder AB, manages a total of SEK 846bn.

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