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/en/bank-og-finansmarked/statistikker/vpfondk/arkiv
4023
Insurance companies with high investments
statistikk
2008-03-06T10:00:00.000Z
Banking and financial markets
en
vpfondk, Mutual funds, quarterly figures, fund types (for example mutual fund, bond fund, money market fund), mutual fund shares capital, stocks, net subscriptionsSecurities markets , Banking and financial markets
false

Mutual funds, quarterly figures, Q4 2007

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Insurance companies with high investments

Insurance companies net purchased mutual funds shares for NOK 22.4 billion in the fourth quarter of 2007, while all other sectors combined net sold these shares for NOK 4.8 billion. Life insurance companies, which accounted for the largest share of the investments in this period, primarily purchased mutual funds shares in money market funds and bond funds.

Stocks of mutual funds shares by holding sectors as of 31 December 2007

Stocks of mutual funds shares in total and by types of mutual funds. Market value in NOK million

In total, mutual funds shares were net purchased for NOK 17.6 billion in the fourth quarter of 2007. The market value of shares in all types of funds reached NOK 456.3 billion at the end of the fourth quarter of 2007, an increase of 4 per cent from the third quarter. Although there was a marginally negative development in the financial markets during this period, the value of all mutual funds shares increased due to these large investments made by the life insurance companies.

Life insurance companies net purchased NOK 16.5 billion worth of mutual funds shares in money market funds, and NOK 5 billion in bond funds. These large investments could be caused by changes in the companies’ securities portfolios. Investing in money market funds allows for low risk and high liquidity.

The sector «employees etc» net sold in all types of funds during this quarter, resulting in net decrease of NOK 2.7 billion. These net sales contributed to this sector’s ownership in all funds to decrease by 3 per cent to NOK 111.1 billion.

The sector «insurance companies» has kept its position as the largest owner through its high net purchases in money market- and bond funds. This sector had a share of 31.3 percent at the end of the quarter. The second largest owner was «employees etc» with an ownership share of 24.4 per cent, while the sector «rest of the world» had an ownership share of 9.8 per cent.