Gildi’s mutual pension division had assets of ISK 905.5 billion at the end of 2022. The department’s assets developed in the following way in 2022 (note that all figures are in ISK billions):
*Including ISK 2.2 billion disability contribution from the national treasury
Below you can find information about returns, asset composition and the investment strategy of Gildi’s mutual pension division. Detailed information can be found in the fund’s Annual Reports, which can be accessed here.
The net nominal return of Gildi’s mutual pension division in 2022 was -2.2%, but was 17.8% in 2021. The net real return was -10.6%, compared to 12.4% the previous year.
Market conditions were difficult in 2022 and few asset classes produced positive returns.
The average nominal return of the mutual pension division for the last five years amounts to 9.8% and a total of 8.7% for the last ten years
The average real return of the mutual pension division for the last five years amounts to 4.8% and a total of 5.1% for the last ten years
Gildi´s Mutual Insurance Department investment policy for 2023 states an increasing exposure to equities and decreasing exposure to bonds. Total allocation for domestic equities, domestic bonds issued by financial institutions, corporate credit and alternatives will increase from former year, but government bonds and foreign fixed income funds will decrease.
Under alternatives are foreign real estate- and infrastructure funds as well the residuals of older hedge funds that are in wind down.
| Securities class | Assets 30.9.2022 | Strategy 2023 | Difference | Variance (minimum) | Variance (maximum) |
|---|---|---|---|---|---|
| DEPOSITS | 2,0% | 0,5% | -1,5% | 0,0% | 10,0% |
| BONDS | 44,4% | 45,0% | 0,6% | 35,0% | 65,0% |
| - Government bonds | 19,3% | 17,0% | -2,3% | 10,0% | 25,0% |
| - Bank and savings bank bonds | 6,8% | 7,5% | 0,7% | 3,0% | 11,0% |
| - Mortgage bonds | 8,8% | 10,0% | 1,2% | 2,0% | 16,0% |
| - Municipal bonds | 2,0% | 2,0% | 0,0% | 0,0% | 5,0% |
| - Corporate bonds | 6,9% | 8,0% | 1,1% | 3,0% | 15,0% |
| - Foreign short-term funds | 0,0% | 0,0% | 0,0% | 0,0% | 10,0% |
| - Foreign bonds | 0,5% | 0,5% | 0,0% | 0,0% | 12,0% |
| SHARES | 52,4% | 53,0% | 0,6% | 35,0% | 60,0% |
| Domestic shares | 23,4% | 22,0% | -1,4% | 12,0% | 29,0% |
| Foreign shares | 28,9% | 31,0% | 2,1% | 19,0% | 39,0% |
| OTHER INVESTMENTS | 1,3% | 1,5% | 0,2% | 0,0% | 4,0% |
| TOTAL | 100% | 100% |
Gildi’s portfolio consists of a number of assets that are divided into different categories depending on their nature. Below is an insight into the fund’s portfolio from several different perspectives as it stood at the end of 2022.
You can find out more information and a breakdown of the portfolio in the fund’s Annual Financial Statement: