A good but at the same time bad investment

For full transparency, neither I nor the world's most perfect husband have any interests in AP7 as we both made active choices and moved our pension money to other more profitable funds.

A part of Swedish employees' general pension is invested in funds. If no active choice is made, the money is managed by AP7, which is the government's default option. According to AP7, this fund mainly focuses on the environment, ethics, sustainability and also start-ups.

Risking future pension money on start-ups is not smart in my opinion as they often fail, for example AP7's venture into Cake. Now it has emerged that AP7 has invested in Emaar, which is a real estate giant in Dubai. This investment sits badly with their motto ethics as Emaar has contributed to money laundering via both the Italian Camorra and the Irish Kinahan Cartel through the sale of flats and villas. But financially, this is a good investment for future retirees.

If AP7 is to be an attractive option for future Swedish pension investors, perhaps they should remove the motto ethics and continue with profitable investments.