STOCKHOLM/LONDON (Reuters) – A vibrant start-up scene, which has spawned stars such as Spotify, Skype and Rovio, is inspiring Nordic pension funds to invest more money with local private equity funds.
Managers looking to pump up their pension returns hope that this will plug them into the Nordic business world’s inner circle and help them to back the best prospects early on.
“With Spotify we got a call that maybe there were some shares for sale … We thought it was a great product so we said let’s dig into this and we made an acquisition with our friends at AMF,” Bo Selling, Alecta’s head of equities, told Reuters.
Swedish pension funds Alecta and AMF saw their 2016 investments in Spotify nearly triple in value when it listed in 2018. This success has helped fuel demand from other pension funds and encouraged some to change their investment parameters in order to be able to seek out the region’s next big hit.
As part of this shift, Sweden said earlier this year it will…
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