Asset Classes - Market value and Development

Positive, but weak, market development

AP4 delivered a positive result for the total portfolio during the first half of 2016. Stockmarkets opened the year negatively, recovered but turned again downward with severe market turbulence during June in connection with Britain’s Brexit referendum vote, with Japan, Europe and Sweden among others below the zero mark at mid-year. Long-term government interest rates in major markets fell during the period resulting in a positive contribution to the total portfolio. The Swedish krona weakened against, among others, the Euro, the US dollar and the Japanese yen, which was positive for the valuation of the foreign assets in the Total portfolio. 

  • Interest-bearing assets developed positively in connection with falling interest rates.
  • Positive returns from Real Estate.
  • Weaker Swedish krona resulted in positive foreign exchange contributions.
  • Listed shares, both Swedish and global, contributed negatively.

Market value, portfolio returns and contribution to profit, June 30, 2016