Interim Report January - June 2011

• Fund capital totaled SEK 216 billion (196), up SEK 3.4 billion (0.4) since year-end 2010.
• AP4’s net profit for the period was SEK 3.6 billion (2.4).
• The total return was 1.7% (1.3) before expenses. The total return after expenses was 1.6% (1.2).
• The active return for listed assets, that is, the return exceeding the benchmark index, was 0.1 (0.4) percentage points before expenses. The active return represents a contribution of SEK 0.2 billion.

- High drama has returned to centre stage on global financial markets. We are tossed between hope and despair. The cause is heightened concerns about the increasingly indebted countries of southern Europe and about the United States’ growing national debt. Until we see actions that address these problems in a credible manner, continued uncertainty is likely, says Mats Andersson, CEO of AP4.

- Each year, the Swedish Government commissions an assessment of the AP Funds, and this year’s assessment included a comparison with eight international pension funds. The comparison reported the funds’ returns as well as their costs for the period 2006–2010. Although care should be taken in drawing conclusions from such comparisons, AP4 performed extraordinarily well in this sample. No other fund had lower costs. For the return measured in Swedish kronor, we ranked third. This is a solid base for our continued work to develop and strengthen the Fourth AP Fund under increasingly problematic circumstances, Andersson adds.

AP4’s complete six-month interim report for 2011 is available at the Fund’s website.