Market Comments - Q2 2021

Rising optimism and higher prices
The second quarter of 2021 was in many respects characterised by optimism and favourable winds and resulted in decent returns for most asset classes. At the beginning of the quarter, we saw a solid indication of improvement from the corporate sector which across the board announced very favourable results which were generally much better than expected. Growth in society is simultaneously powering ahead indicating that the massive stimulus packages and the accommodative monetary policy from the world’s central banks have taken activity in society back to pre-Covid-19 levels – and even higher. The flip side of the coin is obviously price increases of commodities, products and other goods, due to rising demand but a supply which is still limited by the lockdown. This delicate balance has still not been found, which has resulted in solid increases in inflation which until further notice is considered being of a temporary nature.

The roll-out of the vaccines against Covid-19 on a global scale is in full swing, and infection figures declined considerably during Q2, which has also sent up optimism and confidence in a more normal future. However, the quarter also saw a large spread of the coronavirus in India, and most recently we have seen strong focus on the Delta variant, which is both more contagious than other types and against which the vaccines are probably not as efficient. Yet, the light at the end of the tunnel has so far pushed the concerns aside, and the financial markets undauntedly continue their upward trend.

Most equity and bond markets delivered positive returns over the quarter due to the general optimism. Only developed-market bonds delivered declining trends over the second quarter of the year.
In aggregate, all mixed portfolios delivered positive returns in Q2, and the higher the proportion of equities and risk, the higher the return.

2021 has so far seen practically uninterrupted increases in the equity market and partly also in the corporate bond market, but developed-market bonds and emerging market bonds have due to the solid interest-rate hikes at the beginning of the year not managed to enter positive territory with respect to returns although interest-rate increases slowed down in the past quarter.


The fund*



Latest quarter

3.75 %

3.40 %

0.35 %


4.80 %

3.63 %

1.18 %

* See past performance under the tab Past Performance

Right now
Our general risk exposure in the portfolios was stable in the second quarter of the year and is generally slightly higher than our reference portfolios. We are still slightly hesitant in relation to an increase in the proportion of equities and believe that the possibilities of a better purchase level still exist. Should we be proven wrong, and equities continue their positive trend into the second half of the year, we will obviously be ready to act accordingly.

Pay attention
Past performance is not a reliable indicator of future results. The value of and return on your investment may fall, and you may not get back the full amount invested. An initial charge is usually made when you purchase and sell units. The fund may invest in instruments denominated in various currencies. At least 75% of the fund assets will at all times be invested in EUR or hedged to EUR. You should be aware that changes in exchange rates may have an adverse effect on your investment. This may also be the case if EUR is not your base currency.
Information in this text should not be regarded as investment advice, and investors should consult their own investment and tax advisers before buying or selling.