Danica achieves H1 returns of up to 13.1%

Danica Pension has achieved returns of up to 13.1 per cent in the first six months of the year.

For customers with Danica Balance Mix with medium risk and 20 years to retirement, there were returns of 9.6 per cent after costs for the period, while a customer in Danica Pension with a medium risk and 20 years to retirement has received a return of 36 percent over the last three years.

Danica Pension investment director, Poul Kobberup, said: “There have been strong stock markets throughout, and otherwise the first six months of the year have been marked by nice interest rate rises followed by falling interest rates.

“Especially those pension customers who have offensive risk profiles have received high returns, which are double-digit. Our private equity portfolio has to that extent contributed to positive returns, and here we have reaped the benefits of the investments we made about five years ago.”

He added that such high returns should not be expected in the coming years as “the markets have been running really fast for a long time”, adding that economies would soon be in “full swing” and that the Danish outfit was “moderately positive” and would stick to its long-term strategy.

Kobberup concluded: “The behaviour of the central banks will be absolutely crucial. Until now, there has been a consistent firmness in maintaining the low interest rates, and it is exciting to see if it continues like this, at the speed the economies are currently at.”

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