Magnus Billing. Sweden Post.
Magnus Billing will step down as CEO of Sweden's biggest pension fund.
His
departure comes after the fund sustained losses of $1.9B (Kr19.6B) due
to its significant shareholdings in Silicon Valley Bank (SVB) and
Signature Bank.
- Alecta said on Tuesday
that losses during Billing's tenure "seriously damaged confidence," in
how the firm invests its clients' wealth.
- Alecta chair Ingrid Bonde told the Financial Times that the company will need to "rebuild trust" among its customers.
- Alecta was highly exposed to the collapse of SVB and Signature and also held shares in First Republic.
- Sweden's financial regulator has launched an investigation into Alecta over its recent losses.
- Confidence in the global banking sector was shaken following the seizure of Silicon Valley Bank and Signature Bank by federal regulators last month.
- Shares in First Republic plunged after the seizures, prompting larger U.S. banks to contribute $30B to shore up its finances.
