(Bloomberg) -- ATP, Denmark's biggest pension fund, said it will invest in riskier assets after getting government approval to move forward with the strategy to give savers a better return.
The state-mandated fund, into which all workers must pay, said a fourth of contributions once reserved for safer assets like bonds will be invested in higher-risk assets from this month. The level of risk will gradually be lowered as savers near retirement age, the fund said in a statement on Monday.
ATP, which manages around $150 billion in assets, had lobbied Danish politicians to allow for the change after years of falling bond yields eroded savings. Returns have been buoyed by its riskier investment portfolio, which in the nine months through September helped drive profits up six-fold.
Danish Pension Fund ATP Reports Six-Fold Jump in Profit
©2022 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
