[16:15 CET 26-10] SWEDEN - AI Pension, the SEK 4.4bn (€432.6m) fund for architects and engineers, has reported a return of 7.8% in the period between January and September 2009.

The scheme, which was renamed AI Pension, Architects and Engineers from the Architects Mutual Retirement Fund,on 1 October 2009, revealed that the biggest drivers for the positive return were equities, which produced a result of 26.5%, while alternatives including hedge funds returned 11.7%.

AI Pension's property portfolio also produced a positive return of 2.6%, although figures showed the fixed income portfolio returned -0.4%, the only negative return for the scheme.

The assets of the pension fund increased from SEK 4.1bn to SEK 4.4bn over the nine-month period.

In addition, the asset allocation of the scheme saw a reduction in bond investments - from 56% to 47% at the end of September - while the fund increased its equity allocation from 25% to 33%. Investments in alternatives and real estate remained relatively stable at 15% and 5% respectively.

However, as a result of the positive performance, the solvency ratio of the fund had improved to 137%. This is despite the fact the scheme introduced new mortality assumptions in July, which increased the life expectancy of a 65-year-old by around two years to 89.6 years. This negatively impacted the solvency ratio by 12%. 

AI Pension also launched a new defined contribution (DC) scheme, the AI Plan on 1 October, targeting architects and engineers.

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