Mutual funds, 2011

After a period of high profits, in 2009 and 2010, the Norwegian-registered funds again incurred losses in 2011. The loss was, however, not as large as in 2008, and the result in 2011 was significantly weaker than in 2010.

Total income from interest and dividend payments were high in 2011 compared to previous years. Unrealised losses were however very high in 2011, causing the mutual funds to incur losses of NOK 35 billion.

Reduced stocks of securities

During 2011, the stocks of shares, mutual fund shares and primary capital certificates were reduced by 12.5 per cent to NOK 300 billion. Of this, NOK 65.4 billion was made up of investments placed in foreign or domestically issued mutual fund shares.

In the same year, holdings of short-term bonds increased by 11.1 per cent to 35.8 per cent, while stocks of bonds increased by 16.6 per cent to NOK 167.8 billion. The total value of all securities held by mutual funds decreased from NOK 546.4 billion in 2010 to NOK 528.8 billion in 2011.

Management fees amounted to NOK 4.1 billion in 2011. This is slightly higher than in 2010, but otherwise there was no significant change in costs associated with commission income and other costs.

Life insurance sector is largest owner

As in previous years, life insurance companies were the largest owner sector, with a holding of 35.9 per cent. The households’ share was slightly lower in 2011 than in the previous year, and stood at 22.5 per cent at the end of the year. Foreign investors’ share fell by 9.5 per cent in 2011 to NOK 70.8 billion, which is 13.5 per cent of the total issued mutual fund shares.

Tables

Unit trusts. Balance sheet by financial instruments. 31. December. Million kroner

Unit trusts. Profit and loss accounts. 31. December. Million kroner

Unit trusts. Participation capital by creditor sector. Market value. 31. December. 2011 NOK million