New governance head for €27bn Swedish fund
SWEDEN - Peter Lindell has been appointed as the new head of corporate governance at Sweden's third largest pension provider, AMF.
Starting from April 1 this year, Lindell, currently an asset manager at the Swedish Ministry of Enterprise, Energy and Communications, will replace Magnus Wärn, who is leaving to set up his own firm.
Lindell will be responsible for communicating with companies in which AMF holds large positions and he will be sitting on their nominating committees.
The company has €27bn in assets under management.
In an interview with PensionsNews, AMF's head of capital management Sarah McPhee said that Lindell's appointment comes at a delicate time.
She said that the presence of hedge funds as shareholders in companies that AMF also owns "creates new governance issues for institutional managers."
McPhee added that AMF has to decide "in each individual case if the presence of a hedge fund in a company is contributing or detracting from our long-term returns," explaining that the firm needs "the right to represent the long-term interests of the companies we hold".
Also, McPhee said that AMF does not have any, even indirect, hedge fund exposure, as the firm believes hedge funds are too costly and do not contribute to long-term returns.