While KLP posted a -0.5% first half investment return on a value-adjusted basis, in booked terms – the actual return passed on to customers – the return was a positive 1.9%.Total group assets rose to NOK786bn (€74bn) at the end of June, from NOK763bn at the end of 2019, according to the interim financial data.“Despite low returns in the financial markets, KLP is still very solid, and well equipped to face further unrest for a long time, without our customers having to worry,” Thornes said.Among individual asset classes, the pension fund’s equities holdings ended the first half with the weakest return, losing 7.0%, while short-term bonds produced a 4% return, long-term/hold-to-maturity bonds made 1.8%, and property generated 1.5%.KLP said the sale of its DC business was still awaiting approval from the Norwegian FSA (Finanstilsynet), but that it had met with a positive conclusion from the Norwegian Competition Authority. Final approval is expected during the third quarter of this year, the firm said.“With the framework for public sector pensions now resolved, given the limited DC market in the public sector – and bearing in mind the need for major investments in system upgrades to manage the revised framework conditions and give customers the best service – it is the right time to find an owner for the company who will be able to see to customers’ best interests in future,” Thornes said.KLP also reported that it repurchased €306m of its own subordinated debt in the six-month period, which resulted in NOK291m costs in its accounts, but said the move would give rise to large annual cost savings over the next five years.Looking for IPE’s latest magazine? Read the digital edition here. Norway’s largest municipal pension provider Kommunal Landspensjonskasse (KLP) revealed a 0.5% investment loss for the first half of this year, but sought to reassure local authority customers it was still solid enough to stand a long period of market turmoil.Reporting interim results, the pension fund also revealed it was taking a NOK152m (€14.3m) loss on the sale of the defined contribution (DC) corporate pensions subsidiary KLP Bedriftspensjon, which it announced in June it was selling to DNB Livsforsikring.Investment performance improved in the second quarter for KLP, with a value-adjusted return of 3.2% for the three-month period, following the 3.7% loss it reported for January to March.Sverre Thornes, KLP chief executive officer, said: “The world’s financial markets remain challenging, but we have built up our buffer capital over several years in order to ensure we are equipped for market unrest like this.”
76ers rumors: Philadelphia sends Jimmy Butler to Heat in sign-and-trade, inks Al Horford to 4-year deal Here are three takeaways from free agency so far:The Nets are winningIt appears like Brooklyn is acquiring two of the top three free agents that hit the market this summer in Kevin Durant and Kyrie Irving.Both Durant and Irving are prepping to sign multi-year deals, according to ESPN, which will surely make the Nets a top contender in the Eastern Conference for years to come. Related News Knicks address missing out on Kevin Durant, Kyrie Irving: ‘We continue to be upbeat and confident’ Free agents Kevin Durant and Kyrie Irving are taking less than the max to allow DeAndre Jordan to get the $10M annual salary with Brooklyn, league sources tell ESPN.— Adrian Wojnarowski (@wojespn) July 1, 2019Even though Durant likely won’t play at all in 2019-20 because of his Achilles injury, Brooklyn has a lethal mix of star power and developing young talent that seems poised to make some noise.Utah is sneakily making significant upgradesThe Jazz didn’t sign the biggest superstars available, but did acquire some quality players that could make them considerably better next season.Utah traded with the Grizzlies to bring in a talented, all-around point guard in Mike Conley to pair with Donovan Mitchell in its backcourt. It also reportedly acquired an underrated wing in 6-8 Bojan Bogdanovic.Conley is a much better scorer than Ricky Rubio and will give the Jazz a higher offensive ceiling. Bogdanovic shot 42.5% from behind the arc in 2018-19 and has solid versatility, which will allow him to play at three different positions.The Jazz got better at two starting spots and finished fifth in the Western Conference last year. They are a serious threat to surpass that mark in 2019-20, and they did this without losing any major pieces.Things don’t look good for the KnicksNew York was rumored to be among the favorites to land Durant and Irving all year, but obviously that didn’t work out.It moved Kristaps Porzingis to Dallas in what was likely an attempt to free up max slots for stars, but reportedly hesitated to offer Durant max money. The Knicks were also hoping to get former Duke star Zion Williamson in the 2019 NBA Draft but got RJ Barrett at No. 3 overall instead. NBA free agency officially began Sunday, and it was eventful.Quite a few teams made notable moves to adjust their rosters, and some had more desirable outcomes than others. Barrett is still an elite prospect, but Kevin Knox, Dennis Smith Jr., Mitchell Robinson and Allonzo Trier probably won’t help him turn New York into a contender anytime soon. Reportedly landing Julius Randle was a bright spot for the Knicks, but their free agency looks like it will be extremely underwhelming, considering the expectations they started the year with.