​"Increased interest in sustainability is to our favor"

During the first half of 2019, SPP Fonder had a net flow of approximately SEK 6,4 billion, which corresponds to 22,8 percent of the total net flows on the Swedish mutual fund market [1]. The assets under management amounted to SEK 208 billion at mid-year.

- In June, we had a net flow of 1,7 billion, which is the highest sum in the market representing 20,8 % of market share. The increased interest in sustainable funds is clearly to our favor, says Åsa Wallenberg, CEO of SPP Funds.

So far this year, total new savings in funds amount to SEK 28 billion in the Swedish market. The largest share was in long-term fixed income funds, followed by equity funds. Since the turn of the year, AUM in the Swedish fund markets increased by SEK 653 billion. Of the total fund assets 2 754 billion (or 59 per cent) are invested in equity funds, according to statistics from the Swedish Investment Fund Association.

- We have seen an increased interest in our fixed income funds during the first half of the year. We have a good distribution between equity funds and fixed income funds in our range, which allows our customers to easily re-allocate their portfolios and adjust their risk levels when it fluctuates in the market. In addition, our fixed income team was awarded Best Fixed Income House by Morningstar, which we are very proud of.

In July, Söderberg & Partners released the report "Sustainable funds" which examines 3,100 funds from the perspective of sustainability. The report highlights the proportion of green funds in each fund company, where SPP Funds has the largest proportion of funds receiving the Söderberg & Partner 'green light'.

- We are constantly working to increase the level of sustainability in all our funds. As we gain access to better data, we can make more accurate analyses and integrate more sustainability across the entire range of funds. We also use our power as an active owner to influence the companies in which we invest. A combination of exclusion, integration and active ownership is according to us the best way to move large amounts of capital in a more sustainable direction.

During the half-year, SPP Fonder also topped IRRI's (Independent Research in Responsible Investment Survey) survey as the company that contributes the most to sustainable investments in the industry.

- These types of awards and lists provide us with a good benchmark and an indication in which direction the industry is heading. What we see is that the focus and the requirements for sustainability in funds will increase immensely, which is positive. We have a responsibility to do everything in our power to contribute to a more sustainable financial industry, Åsa concludes.

SPP Funds is part of the Storebrand Group, a leading player in the Nordic market and a pioneer within the field of sustainable investments.

[1] Moneymate

Past performance is no guarantee of future returns. Future returns depend on the market, fund manager skill, fund risk level and costs, among other things. The performance may be negative due to losses and it may vary considerably within periods. Unit holders’ realised gains or losses will therefore depend on the actual timing of subscriptions or redemptions.