Handelsbanken Norden (A1 NOK)

Fund performance was positive during the quarter and the fund rose approximately 1% in SEK. The Nordic markets showed positive returns, although with significant variations. Novo Nordisk was previously the driver but posted a weaker performance in the quarter and fell 21%. Interestingly, the SEK strengthened against other currencies. The Danish logistics company DSV announced an acquisition of German Schenker, which was received positively by the market. The strongest individual contributors to returns were DSV, Ericsson, KONE, Securitas, Investor, EQT, QT Group, Essity and Vimian, while Novo Nordisk, AP Möller Maersk and Hexagon had the most negative impact. New significant holdings include the audiobook company Storytel, the Norwegian technology consultancy Norconsult, the air treatment company Munters and the window manufacturer Inwido. Divestments in the portfolio included Maersk, Epiroc, Nokia, Genmab and Surgical Science. In general, the Nordic markets, like the global markets, have focused on the large caps where strong long-term structural drivers such as electrification, semiconductors and obesity drugs have been strong. However, we have recently seen a change in this trend. Although the fundamental factors remain robust, this indicates that the positive element of surprise has decreased slightly. We expect the market to continue to broaden during the upcoming period. The fund changed its name on 20 March from Norden Tema to Norden. This change provides more liberal investment rules and enhanced opportunities to invest in more value-based equities, although we also continue to identify long-term structural growth.