First of all, we start from your time horizon and the withdrawal profile in your target savings (for target savings we assume for example that you will withdraw the funds all at once, while for retirement savings we start from a specified withdrawal period which in a standard case is 20 years). Based on the time horizon, Advinans will then make an allocation between fixed-income and shares. The risk preference given by the customer means that the risk will be adjusted to some extent after that.

The equity portfolio is based on the global stock market, where we make adjustments based on foreign-exchange risk (primarily by an upward adjustment of the percentage of Sweden) and well-established premiums via so-called smart beta and active owners.

For the fixed-income portfolio, we base it on the global fixed-income market but upwardly adjust Sweden considerably due to foreign-exchange risk and fees. We make further adjustments to the fixed-interest portfolio when there is a short time left until the withdrawal period in order to minimise the interest risk.