SWEDEN - The 152 billion-crown (17 billion-euro) Third Swedish National Pension Fund, Tredje AP-fonden or AP3, has divided its 15 billion-crown US equity portfolio into three market-cap brackets.

It said the portfolio has been brought into line with its European equity portfolio with the division into large-caps, mid-caps and small-caps.

It said Merrill Lynch retains US large-caps in a passive and semi-passive mandate, benchmarked against the FTSE North America Large Cap index.

AXA Rosenberg Investment Management and Batterymarch Financial Management have been appointed for the new US mid-cap segment, introduced as a separate mandate. The benchmark is the FTSE North America Mid Cap Index Ex REITs.

Small-caps will be run by Batterymarch and Dimensional Fund Advisors, benchmarked to the FTSE North America Small Cap Index Ex REITs index.

The scheme said: “Both Axa Rosenberg and Batterymarch were previously appointed for the former US mid/small cap mandate managed against the Russell 2500 (ex REITs) benchmark, while Dimensional Fund Advisors Inc is a newly appointed manager.”

The move follows a decision in June to benchmark to FTSE group indices.

Earlier this month AP3 named Anders Olsson as its new head of equities.

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