Russia, exclusions versus engagement and returns

The discussion started out with Niklas Tell asking the investors about their current exposure to emerging market debt and how this has changed over recent years.

KLAUS SØLUND: “Our allocation has actually been fairly stable over time. We’re a growing pension fund so we have added capital but as a percentage of our overall assets, it has been stable. We sometimes reallocate within the asset class and right now we have increased our high yield position. In terms of internal versus external, it’s a mix where we manage some 60 per cent internally and the rest externally. We specifically don’t do emerging market corporates internally.” THOR SCHULTZ CHRISTENSEN: “I joined Velliv a year and half ago and then it had already been decided that we should