Sitra’s investments Q4/2022

The market value of Sitra’s investment assets was 941 million euros on 31 December 2022 (1 107 million euros on 31 Dec. 2021). In the third quarter, the return on investments was +2.4 per cent and for the full year 2022 -6.4 per cent.

The second and final payment of 66.7 million euros to further capitalize Finnish universities was made at the end of January. In December 2019 Sitra’s Supervisory Board decided to make a non-recurring donation of 100 million euros to universities. The first payment of 33.3 million euros was made in August 2020.

The year 2022 was exceptional as both equity and fixed income returns were negative. To curb inflation, central banks raised their key rates faster than expected, resulting in a sharp rise in market interest rates and a drop in the stock markets. Russia’s attack on Ukraine and the ensuing energy crisis, as well as China’s tight covid policy, affected the economic outlook. Despite a slowdown in global economic growth, employment levels remained at a record high level in both the United States and Europe, and there was no widespread deterioration in corporate results.

Sitra’s investments by asset type on 31 December 2022:

– Listed equity investments 44%
– Fixed income investments 19%
– Real estate and infrastructure investments 19%
– Venture capital and private equity investments 18%

Sitra’s investment portfolio is diversified across geographies as well as asset classes. Over one third of investments are in Finland.

The long-term return target is a real return of 3 per cent p.a.