Skip to main content

Most countries are going to introduce some degree of lockdown.

Would your forecast be bullish? And would you put more of your own savings in risk assets?

We all know the probable answer: You'd be smitten with the same fear that caused the markets to collapse in March. And yet, after completing the tally one year later, we can safely conclude that 2020 turned out to be a very satisfactory year indeed – in terms of financial returns, that is. So much for financial forecasting. If you've seen the markets from this angle before, it certainly bears repeating.

In fact, every one of our funds, in every share class, produced positive returns as measured in Norwegian kroner. Yes, we had to wait until December for that conclusion, but that's how financial markets work. Returns come in leaps and bounds and, in 2020, we had leaps and bounds aplenty.

If you care to read this comment, you don't need me to expound on vaccines, monetary stimuli or policies that but a few years ago would be termed fiscal profligacy. Do note, though, that lower levels of interest rates imply more unflappable investors; mathematically, movements in the near future make up a smaller part of the present value of all future returns. Pit this against a pandemic and increased sensitivity to changes in interest rates and you have a year that looks very much like 2020.

Returns come in leaps and bounds and, in 2020, we had leaps and bounds aplenty.


Given the enormous human cost of the pandemic, I will resist the temptation to write something along the lines of all's well that ends well. We dare say we are pleased, however, that our clients have fared so well – financially – in this very demanding year. Most of them had the audacity to stay put, meaning that they eventually recovered their losses and then some.

In terms of returns only: Thank God we didn't know!

Fund updates for December 2020

Pareto Investment Fund
The fund had a very strong end to the year and ended in positive territory. In December, the fund managed to almost recoup the loss relative to the index since the bottom in March.


Pareto Aksje Norge
December was another good month for the portfolio, making the fund end the year in positive territory.


Pareto Nordic Equity
The fund had a strong end to the year in a relatively calm month in the Nordic stock market.


Pareto Global 
Although 2020 was a very strange year, due to the pandemic, the fund's return was in fact in line with the long-term average annual return.


Pareto Nordic Return 
After a strong closing, the annual return ended up over 20 per cent and the fund set new best records in the fourth quarter.


Pareto Nordic Alpha
In 2020, we generated excess returns and had lower volatility than the Nordic market.


Pareto Nordic Omega
We dare say we are satisfied with both returns and excess returns in what became an exceptionally eventful year in the stock market.


Pareto Nordic Corporate Bond
December was yet another month of positive return, bringing the fund's 2020 NOK performance in positive territory for the first time since markets bottomed out end of March.


Pareto Nordic Cross Credit
Despite all the tragedies, challenges and uncertainties, the fund performed relatively well in 2020.


Pareto ESG Global Corporate Bond
The fund finished up for the year for all share classes of the fund. It was a busy year with many new names in the fund and increasing market focus on sustainability.



Historical returns are no guarantee for future returns. Future returns will depend, inter alia, on, market developments, the portfolio manager's skill, the fund's risk profile, as well as fees for subscription, management and redemption. Returns may become negative as a result of negative price developments.

Subscribe to our monthly reports