Denmark. World’s Top-Ranked Pension Funds Are Hoarding Riskier Assets
Denmark’s $530 billion pension industry is accumulating risk at an ever faster pace in an effort to maintain the world’s best-funded life insurance market. The trend is upending initial public offerings and taking large chunks of listed companies out of circulation. It’s also adding vulnerabilities to Denmark’s economic backbone that the financial regulator says are underestimated.
The Voices
Allan Polack, the chief executive officer of PFA, which manages about $100 billion in assets, says the Danish regulator is “right to be worried.”
“It’s a very complex area,” Polack told Bloomberg radio. “No doubt the industry has taken on much more risk. So far they’ve been right” to do so. “But of course we all need to be prepared if things are changing.”
Read more @Bloomberg
