Stockholm (NordSIP) – The rotation at the top of the Swedish National Pension Funds continues. Just as AP3’s board has managed to find a replacement for long-time CEO Kerstin Hessius, on 5 September, another veteran, the Seventh AP Fund’s CEO Richard Gröttheim, announced that he would be leaving his post next year.
Gröttheim has been with AP7 for 22 years, leading the organisation for twelve of those. “The board would have liked to see Richard Gröttheim stay for a couple more years but fully understands that he wants to devote himself to other activities after a long and dedicated service,” comments Per Frennberg, chairman of the board of AP7. He is full of compliments for the departing CEO: “The financial result has been outstanding, the organisation is highly competent, and the sustainability work has been exemplary.”
AP7 is the state alternative to the private investment funds offered within the Swedish premium pension system. The fund has been around since 2000. However, at the time, AP7 was managing a much smaller portion of the Swedes’ pension savings, around SEK 15 billion. Since then, the fund has grown considerably. At the end of 2021, AP7 managed SEK 970 billion. More than five million Swedes now have their premium pension placed with the AP7 Såfa fund portfolio, and it has been a good investment for those who have stuck with the fund since the start. They have received an average return of 11.6 per cent per year.
“It has been a fantastic journey for which I am very grateful,” shares Gröttheim in the press release. “The premium pension default alternative is a cornerstone of the Swedish pension system, and I had the opportunity to develop it together with fantastic colleagues. The time is right to bring my operational career to a close and to hand over the baton to my successor,” concludes the departing CEO.
Richard Gröttheim will remain at his post until the recruitment process is complete. It is up to the board now to find a worthy replacement.
