Persson Pledges A Curb On Swedish Pension Funds

The Financial Times has reported that Swedish pension funds will be banned from backing activist investment funds that target the country's leading companies if the ruling Social Democrats are re elected at the weekend. This follows a move by Cevien

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The Financial Times has reported that Swedish pension funds will be banned from backing activist investment funds that target the country’s leading companies if the ruling Social Democrats are re-elected at the weekend.

This follows a move by Cevien Capital, a Swedish activist investment fund, to acquire a 5 per cent stake in Volvo and demand it redistribute billions of dollars in excess cash to shareholders.

In an interview with the Financial Times Gran Persson, the Swedish prime minister says, “Pension funds should not take part in actions like the one Cevian plans against Volvo, they should have a more long-term perspective.”

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