2021 – Strong stock performance
The year is coming to an end, and we can state that it looks like it will be another year of strong stock performance. Based on average forecasts, global GDP is expected to grow above trend this year, next year and 2023. Companies have generally shown volume improvements, strong order intake and increasing profits during the year. The coronavirus has continued to contribute to periods of volatility, but previously eased restrictions provided growth support in both Europe and the United States.
Quality companies with leading positions
As you know, we continue to invest in quality companies with strong balance sheets, good cash flows, leading positions in their respective areas and where the liquidity in the share is good. Furthermore, it is important with earnings growth over time. An additional variable we value is whether the companies make acquisitions and thus can grow somewhat faster than the industry average.
Good development for our funds (as of December 12th)
We are happy to announce that our funds have performed very well in absolute and relative terms this year. Our Nordic fund, NE Strategy, is one of the market’s oldest Nordic funds and has delivered a return of 363%* since its start in 2001. MSCI Nordic Index** has increased 288% during the same period. Since the beginning of the year, the fund has increased by 31%, while the Nordic Index has developed by 27%. Our global fund, NE Global Stars, has also delivered a great development of +31% YTD.
You are more than welcome to contact us for any questions or requests or if interested in an individual meeting!
*The fund’s development is in SEK and after dividends and fees. Inflation is not taken into account. **MSCI Nordic Gross Index, local currencies.
Past performance is no guarantee of future return. The value of the capital invested in the Nordic Equities’ funds may increase or decrease and investors in the Nordic Equities’ funds cannot be certain of recovering all their invested capital.