Sweden’s four buffer funds, the First, Second, Third, and Fourth AP Fund, reported record combined profits of SEK 316 billion in 2021, after earning an average return of 19.3 percent after expenses. However, the following year proved to be challenging for the four AP funds, as both equity and fixed-income investments significantly impacted their performance. Fortunately, their allocations of alternative investments – both listed and unlisted assets – acted as a stabilizing force in their overall portfolios. The buffer funds, also known as the AP Funds, play an essential role...