SWEDEN - Sweden's seventh national pension fund, the EUR1.65bn AP Fonden 7, is set to make its first investments in private equity and hedge funds during the first half of 2002, Richard Grotteheim, the fund's deputy executive president said.
Grotteheim added that investments in those asset classes would be dependent upon approval from both the fund's board of trustees and the Swedish financial authorities.
He said that once AP7 has finished investigating these products, it will present its planned investments to Swedish regulators. If they consent to AP7's proposals, Grotteheim said that the fund will seek approval from the board in February 2002.
If AP7 receives the backing of Swedish regulators and the board for its proposed investments, Daniel Barr, the fund's chief analyst, said that between 5% and 10% of AP7's total assets would be allocated to the asset classes. Those investments would be worth between EUR83m and EUR165.3m.
By Geoffrey Ho
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