Portfolio manager comments — Q2 2025
Portfolio Manager’s Comment – Q2 2025 Fund performance was positive during the second quarter, rising by nearly 5% in SEK.
The largest positive contributors to returns were Diploma, BNP Paribas and Autoliv, followed closely by Handelsbanken, Infineon and Bawag. These holdings share strong quality characteristics compared to their peers.
Among the largest negative contributors were DSV and AstraZeneca. Partners Group, Intesa Sanpaolo, ASM and Croda also weighed on returns. In several cases, this was due to the timing of divestments made during periods of market uncertainty. For example, Intesa Sanpaolo and Croda were sold in a weaker market environment but were replaced by holdings that have since performed well – including the increased position in BNP Paribas.
In addition to the positive contribution from Carl Zeiss, which was later divested, healthcare companies weighed on returns during the quarter, primarily due to uncertainty around tariffs and price regulations in the US market.
In the consumer sector, the fund divested Autoliv due to increased external risks. The holding in TUI was also sold as geopolitical developments drove up volatility in the equity.
During the quarter, the fund invested in Continental ahead of the company’s planned restructuring. The assessment is that cash flows from the core business will become more visible, while other assets may potentially be divested to unlock value for the company and its shareholders.
The fund now has a more growth-oriented profile, with large active positions in SAP and Richemont, as well as industrial companies such as Diploma, Schneider Electric and Siemens, which are focused on areas with higher growth potential than the broader economy.